Cycle2Work scheme -...
 

  You don't need to be an 'investor' to invest in Singletrack: 6 days left: 95% of target - Find out more

[Closed] Cycle2Work scheme - VAT?

17 Posts
11 Users
0 Reactions
61 Views
 5lab
Posts: 7921
Free Member
Topic starter
 

Alright all. I just got access to our 'portal' for our Cycle2work scheme. I work for a large (~5,000 uk employees) company. It seems, from their calculations, that they're not going to give us the VAT back on bikes. Obviously they are entitled to claim the VAT (they're definately registered) - I'm wondering if anyone knows whether they *have* to take that off the figure I pay as an employee, or whether it's optional? Right now its saying I'll lose £83/month out of my pre-tax salery - ie exactly £1000/12

Thanks

Hugh


 
Posted : 17/05/2010 10:06 am
Posts: 4788
Free Member
 

it is up to the company as to whether pass on the VAT saving to employees - most do, some do not.


 
Posted : 17/05/2010 10:08 am
Posts: 953
Full Member
 

Depends on their tax status as well I believe.


 
Posted : 17/05/2010 10:10 am
Posts: 0
Free Member
 

Purely at the companies discretion - may will choose not to pass on the VAT saving as a way of justifying the cost of administering the scheme and limiting the exposure they have - worst case scenario is that they would have to find £5m!

Generally it's done in order to get the scheme to actually happen, so I'd just make the best of it.

sorry I can't be the bearer of happier news, but at least they are offering it to employees....


 
Posted : 17/05/2010 10:10 am
Posts: 0
Free Member
 

(they're definately registered)

I am sure they are with 5,000 UK employees given you have to be with a turnover of circa. >£70k PA 😆


 
Posted : 17/05/2010 10:12 am
 5lab
Posts: 7921
Free Member
Topic starter
 

ok, thanks for the advice. Guess I now have to figure out if buying a bike at 30% off from an LBS is actually any cheaper than just buying one online 🙁


 
Posted : 17/05/2010 10:14 am
Posts: 4788
Free Member
 

ok, thanks for the advice. Guess I now have to figure out if buying a bike at 30% off from an LBS is actually any cheaper than just buying one online

still get the chance to pay monthly


 
Posted : 17/05/2010 10:15 am
 DT78
Posts: 10064
Free Member
 

My work didn't pass on VAT. With the final 10% repayment I basically paid retail. Was a bit disappointed to say the least. I suppose you could argue it;s a 12 month interest free loan.

Next bike will probably be sourced via Paulscycles....outside of the c2w.


 
Posted : 17/05/2010 10:21 am
Posts: 0
Free Member
 

as mentioned, its an interest free loan. be greatful if they are offering it to you with or without VAT


 
Posted : 17/05/2010 10:40 am
Posts: 13741
Full Member
 

Yup my work added(hid) a huge admin fee in the total price, I was better off buying outwith the scheme buying last years model of bike.


 
Posted : 17/05/2010 10:45 am
 5lab
Posts: 7921
Free Member
Topic starter
 

well I've kicked up a fuss at their 'roadshow' about them profiting from us, who knows what'll happen

turns out, to add insult to injury, they only supply from halfords. ack.


 
Posted : 17/05/2010 12:14 pm
Posts: 7100
Free Member
 

turns out, to add insult to injury, they only supply from halfords. ack.

So you'll be able to get any bike you want then.


 
Posted : 17/05/2010 12:45 pm
Posts: 0
Free Member
 


well I've kicked up a fuss at their 'roadshow' about them profiting from us, who knows what'll happen

you could get the sack


 
Posted : 17/05/2010 1:57 pm
 5lab
Posts: 7921
Free Member
Topic starter
 

So you'll be able to get any bike you want then.

except being able to add an extra £100 on or so to get a better model, or being able to get something from last years stock at a knockdown price

you could get the sack

thanks for the concern. Wasn't that much of a fuss


 
Posted : 17/05/2010 2:35 pm
Posts: 7100
Free Member
 

except being able to add an extra £100 on or so to get a better model, or being able to get something from last years stock at a knockdown price

Most shops are the same though. Generally you have to pay the full RRP, and there are not many shops that let you add money on as this is not allowed under the rules.

Halfords is better in some ways cos they'll let you order any bike. A lot of LBS are restricted to certain makes.


 
Posted : 17/05/2010 3:34 pm
Posts: 4788
Free Member
 

cyclescheme has the best spread of shops and makes, but then people whinge that cyclescheme use does not let them get boardman bikes....

what is that saying... "can't please all of the peop..."


 
Posted : 17/05/2010 3:40 pm
Posts: 1593
Full Member
 

Halfords don't let you order any bike, they have a list of suppliers they can order off, and if it's not on the list you are in trouble...

However, if you live near a Leisure Lakes, then you can go in there and they take the Halfords vouchers, or they did this time last year, and they can get pretty much anything you want. I believe there might be some other shops that do the same...

:o)


 
Posted : 17/05/2010 4:17 pm
 5lab
Posts: 7921
Free Member
Topic starter
 

ah well, got a response back from our HR people, apparnetly its because whilst we're big, we're actually lots of little entities, and claiming vat back across them all would be too tricky to set up

nads!


 
Posted : 17/05/2010 6:11 pm

6 DAYS LEFT
We are currently at 95% of our target!