Cycle Scheme Tax Free Bikes For Work
Cyclescheme works with a network of independent bike shops to supply the nation with quality tax free bikes and equipment for work. They have a wealth of experience organizing no-hassle tax free bikes for employees. Hundreds of companies of all sizes have already benefited from their easy-to-follow system!
To contact them Please call: 0844 879 5101 but before that have a look at all the details below
Cycle to Work Scheme
Save up to 50% on commuting with PoweredBicycles Bikes Cycle to Work scheme!
There is a Government scheme, called the Green Transport Plan, that can save you upto 50% of the cost of a new bike and accessories ( up to a maximum of £1000 ).* Its aims are to make cycling more attractive and more accessible by taking advantage of some unique tax incentives.
Poweredbicycles have developed the Cycle to Work scheme to help you take full advantage of the benefits of the Green Transport Plan whereby we can supply bikes via your employer with massive savings!
We'll take care of everything: the advice, the bike, the parts and accessories, the servicing and of course the paperwork. With Poweredbicycles as your partner, you'll have the access to one of the best ranges of bicycles and cycling accessories also that all important specialist knowledge with all the advice you need to ensure you take full advantage of the Green Transport Plan and get the most out of your cycling.
Benefits for the employee
- Income tax, VAT and national insurance contributions are taken off the cost of the bike and can add up to a massive 50% saving on the RRP of the bike and accessories.
- No finance charges
- Spread the cost of commuting over 12 - 18 months
- Free cycle servicing over first 12 months, thereafter discounted.
- Heavily discounted future parts and accessories. Which equates to more money each month for you to spend or save
For the employer:
- Make savings on national insurance contributions
- Bikes can be treated as a business asset to recover VAT.
- Zero cost to employer
- Offer a tangible benefit to staff
Which could mean:
- Reduced corporate parking and traffic congestion
- A healthier workforce
There in no requirement to notify any authority and prior approval is not required.
Goods remain property of the employer until term is over, encouraging staff loyalty but I suspect that an agreement as to disposal of the asset at the end of the term should be agreed before any purchase is made.
How it works
The Poweredbicycles Cycle to Work scheme makes it as simple as possible for you to take maximum advantage of the benefits on offer through 7 straightforward steps:
- Employer becomes a member of the Poweredbicycles Cycle to Work scheme
- Employee chooses bike and accessories from Poweredbicycles
- Employer asks Poweredbicycles for a voucher to cover the retail price of the purchase
- Poweredbicycles invoices the employer for the voucher amount
- Voucher is posted directly to employee's home
- Employee redeems voucher at Poweredbicycles store or mail order service
- Employee's salary sacrifice begins in his or her next salary
Simple as that!
Important points to be aware of:
- Bicycles bought under the Cycle to Work scheme must be used primarily for travelling to and from work, and they must be suitable for that purpose
- VAT may be reclaimed on bicycles if they are purchased to implement a green travel plan, reduce car use or increase staff health levels
- Leavers or retirees from your company become responsible for any outstanding amounts. These are usually subtracted from final salary payments, and become a taxable benefit
- At the end of the lease term, the employer may transfer title of the goods to the employee and this should have been previously agreed.
- The employer will need the cover of a group consumer credit licence for cycles bought under the scheme for up to £1000.00 and a standard licence if the cycle value is over £1000.00.
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