Reply To: Tax relief

#207713
Glos Guy
Participant

    HMRC rules say you can’t claim tax relief on new cars less than 3 years apart. My Motability lease is 3 years soon and I will extend the lease so if I buy a new car and get VAT relief on the new price, can I get a new car on motability during the extended lease period? I don’t remember having to declare any such info before.

    The 3 year rule only applies to private purchases. It was introduced because some disabled people were buying cars VAT free and then selling them on very quickly making vast profits. Getting a car through Motability is very different. The scheme operates under a block VAT exemption and as a customer you never own the car, so you do not directly benefit.