Motability and VAT

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    Topic
  • #213804
    MFillingham
    Participant

      Afternoon all,

       

      I’ve heard some people say that Motability buy their cars without VAT.  Is that correct?   If so, I was thinking, with cars like the Enyaq offering packs, would the VAT be applicable on the packs for a Motability car?

      I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
      I'll try to give my honest opinion but am always open to learning.

      Mark

    Viewing 7 replies - 1 through 7 (of 7 total)
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    • #213806
      Glos Guy
      Participant

        All Motability cars are VAT free as Motability have a block exemption. Any options or option packs that are available to the public are not exempt from VAT and we therefore have to pay the full inc VAT price. Sometimes Motability will include certain significant packs within the stated vehicle description. When that happens the AP includes that pack.

        #213807
        MFillingham
        Participant

          Thanks for the swift reply.

           

          I was kind of hoping that wasn’t the case but expected someone to confirm it exactly as you did.  It’s a shame as Motability are ignoring the basic safety features missing from the base Enyaq that are only provided in the Packs costing £2,700 and £4,800 including VAT.

          I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
          I'll try to give my honest opinion but am always open to learning.

          Mark

          #213808
          kezo
          Participant

            The base Enyaq scores 5 star Euroncap, even with some of the basic saftey features such as blind spot detection  missing. However its unlikely MB would include them due to its 5 star rating?

            Even if MB chose to add any of them, it likey they would be accounted for in the AP making it even higher.

            Poor show from Skoda, perhaps down to the leading brand/s of the group putting their foot down!

            Like you say though it would nice if option packs could be included VAT free by MB in someway 🙂

            #214008
            MFillingham
            Participant

              The base Enyaq scores 5 star Euroncap, even with some of the basic saftey features such as blind spot detection missing. However its unlikely MB would include them due to its 5 star rating? Even if MB chose to add any of them, it likey they would be accounted for in the AP making it even higher. Poor show from Skoda, perhaps down to the leading brand/s of the group putting their foot down! Like you say though it would nice if option packs could be included VAT free by MB in someway ?

               

              Aah but if MB added the Comfort pack (1780 to you and I) the addition to the AP wouldn’t be as large.  Given both the increase to resale value for having the features in the pack and their ability to negotiate prices, the pack could come down as far as £1k, which would keep it below the ID5 in AP terms.  However, I can’t see them adding the next pack up as there’s no way they’d be able to keep the AP below £10k.

              I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
              I'll try to give my honest opinion but am always open to learning.

              Mark

              #214038
              John Newton

                I would argue MB don’t negotiate that hard given their fleet size they could try a hell of a lot harder, it makes me so angry.

                #214041
                RogerWilko

                  The current iv60 as is comes under the governments electric car grant.

                  Im assuming that the way the packs are done is for tax purposes for businesses.

                  yes, I know the id5 is way over the cap, but we don’t know what agreement MB has with VW probably for one quarter or two, to get the car seen in the road.

                  I feel that the majority of cars on the scheme are either there to get new released cars onto the roads and seen by the public, or are coming to the end of their lives and the manufacturers want to shift slow moving stock.

                  #214069
                  ldc7080

                    i don’t know if they still do it given the current car crisis but BMW used to match the discounts that Motability negotiated with BWM on all added options.   my dealer Sandal BWM gave me a 15% discount on the extras i ordered which was a welcome bonus on collection day and the AP i paid.

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