Does a Ford Ranger qualify as a commercial vehicle?
Pick-up trucks (Ford Ranger, Toyota Hilux, Nissan Navara, etc.) The key thing for a pick-up truck to become a commercial vehicle is if the vehicle's payload is over 1000kgs. Most double-cab pick-ups have a carrying capacity over this, but you need to ensure it stays over this figure.
Is a Ford Ranger a commercial vehicle for tax purposes?
Pick-up trucks (Ford Ranger, Toyota Hilux, Nissan Navara, etc.) The key thing for a pick-up truck to become a commercial vehicle is if the vehicle's payload is over 1000kgs. Most double-cab pick-ups have a carrying capacity over this, but you need to ensure it stays over this figure.
Able to haul at least one tonne of cargo. For business purposes. Lorries, vans, tractors, pickup trucks, and “car-derived vans” are all considered commercial vehicles.
All Light Commercial Vehicles – including double-cab pickups – qualify for VAT reclaims, as long as the business that purchases the vehicles is VAT registered, of course. The amount of VAT that's reclaimable depends on how much of the vehicle's mileage is driven for business.
This second-generation Raptor sits at the apex of the Ranger's model hierarchy, but like the car it replaces, it's not technically a commercial vehicle.
Do you need commercial insurance for a Ford Ranger?
Commercial pickup truck insurance is what you'll need if you use your Ranger for work or business (even if it's only occasionally). For example, to transport tools and material as a tradesperson, or to make deliveries.
To take advantage of the HMRC tax rules for double-cab pick-ups, you need to choose a pick-up with a payload of at least one tonne. That's the benchmark figure the HMRC has decreed any double-cab must meet in order to be classified as a Light Commercial Vehicle.
Something else that's carried over is a payload capacity in excess of one-tonne, so unlike the Ranger Raptor, the MS-RT still qualifies as a commercial vehicle, so it can take advantage of more favourable tax rates.
What vehicles are classed as vans for tax purposes?
What is classed as a van, according to HMRC? Most conventional LCVs that weigh no more than 3,500kg fall under the van category for tax purposes, so if you have something like a Ford Transit, then HM Revenue and Customs (HMRC) considers it a van.
What counts as a van for tax purposes? Van tax rates generally apply to all light commercial vehicles (LCVs) up to 3,500kg 'revenue weight', including pickup trucks.
Can you claim VAT back on a Ranger Raptor? Unfortunately VAT cannot be claimed back on a Raptor - this is because the payload is under 1,000kg. As a result, the Benefit in Kind (BIK) is at the higher rate compared to the traditional Ranger.
Some high-spec pick-ups (like flagship versions of the Ford Ranger and Toyota Hilux) weigh more than 2,040kg, which pushes them outside the bounds of the dual-purpose category and restricts them to the same speed as vans. So, if you were to drive one at 60mph on an A-road, you could get fined.
VAT cannot be reclaimed on the purchase of a car, but can be claimed on a commercial vehicle. Generally speaking a land rover discovery/range rover is classed as a car and VAT cannot be recovered, but a commercial defender type is not a car and 100% of the VAT can generally be claimed back.
Can I claim VAT back on a new car as a sole trader?
Like any other car purchase, you can reclaim the input VAT only if the car is used solely for business purposes. The VAT will be shown on the VAT receipt. Make sure you check the sales invoice as some car dealerships operate under the VAT margin scheme, meaning the price will not include VAT.
Your VAT-registered business can also reclaim VAT if you are buying a car under a lease agreement. You can reclaim 50% if it is used for both personal and business purposes, and 100% if the use is strictly limited to business. You can also obtain VAT refunds on cars leased as driving instruction vehicles or taxis.
Is a VW Amarok a commercial vehicle for tax purposes?
A payload of up to 1,113Kg is possible and the majority of the range has a one-tonne capability. The range-topping Aventura model, however, dips below the all-important threshold and is therefore not classified as a commercial vehicle for tax purposes.
For all intents and purposes, you can't strictly say that a pickup is classed as a van, but this kind of trucks do provide advantages to businesses that use these vehicles as a van. These trucks are a class of vehicles that might fall into the category of light commercial vehicles.
One thing that's key to Mitsubishi L200 running costs is that the model's payload capabilities mean it is classified as a light commercial vehicle rather than a car.
