The Porsche Taycan means business

12/1/2024

The Porsche Taycan means business

Take advantage of the 100% first-year Write Down Allowance on a new Porsche Taycan

The financial year-end will soon be upon us and it's time to consider those all important financial decisions - possibly including a new company car.

The all-electric  Porsche Taycan makes for a compelling financial and emotional choice. The multi-award-winning Porsche Taycan is the pure expression of a Porsche electric sports car, boasting striking proportions, timeless and instantly recognisable design, and a perfect blend of performance with everyday usability. So, it comes as no surprise that WhatCar? recently named the Taycan Cross Turismo as the Best Electric Performance Car (New) for the third year running, and the Porsche Taycan as the best electric performance car (Used).

Benefits through the business

In the UK, businesses can benefit from a 100% first-year allowance for new electric vehicles until April 2025. This translates to the entire cost of the Porsche Taycan being deductible from your taxable profits in the year of acquisition. The Write Down Allowance (WDA) presents a significant opportunity for accelerated tax relief, offering substantial savings for your business.

Conversely the option of Lease Rental Restriction (LRR) allows businesses to deduct lease payments made for a new Porsche Taycan from their taxable profits. However, it‘s important to note that LRR does not allow for a full deduction of the vehicle‘s cost, as with WDA. The deductions are confined to the lease payments made during the accounting period.

So, which route best aligns with the tax efficiency objectives of your business?

Here are some considerations to guide your decision-making:
 

• WDA is particularly advantageous for businesses aiming to retain ownership of their Porsche Taycan and seeking immediate tax relief by deducting the full cost in the year of purchase

• LRR may be preferable if your business values the flexibility of leasing a Porsche Taycan and intends to deduct leasing costs from taxable profits over the lease duration.

Always consult with a tax advisor or an accountant well-versed in UK tax regulations. They can provide tailored guidance based on your unique business needs, financial goals, and the most current tax laws and allowances.

There is even more to benefit from in the form of the 2% Benefit-in-Kind Tax.  If you plan on using your Taycan for both business and personal use, you can also take advantage of the 2% Benefit-in-Kind tax until 2024/2025, resulting in significantly reduced personal taxation costs compared to comparable petrol or diesel-powered vehicles.

The Porsche Taycan - Made For Business. 

The Porsche Taycan is available in three body styles - Saloon, Sport Turismo, and Cross Turismo , so the Porsche Taycan can fit seamlessly into any lifestyle.

Even distant destinations are within easy reach the Performance Battery Plus1 , which provides the Taycan with a generous range of 258 - 304 miles*, reducing the need to stop and charge. If you do need to charge whilst going about your daily business, the Taycan’s 800-volt architecture produces charge power of up to 270kW. The Taycan can be charged to add a range of up to 60 miles (WLTP) under optimum conditions**, in as little as 4.5 minutes.

Porsche is synonymous with performance, and the Taycan is no different. The Taycan Turbo S model can do 0-62mph in just 2.8s with Launch Control, and produces a total power output of 761 PS.

If you would like to find out more about the Porsche Taycan or the finance options available, get in touch by emailing info@porschecardiff.co.uk or call 02920606525.

Always consult with a Tax advisor or an accountant well versed in the UK tax regulations. They can provide tailored guidance based on your unique business needs, financial goals, and the most current tax laws and allowances.

*Performance Battery Plus is not standard on all models.

**WLTP test combined range for the Porsche Taycan 4S Cross Turismo. Range quoted is for comparison only and may vary in real-world driving conditions.

***Optimum conditions: CCS fast-charging pedestal with >270kW, >850v, battery temperature 30°C to 35°C and initial charge status 5%