Bike To Work
Tax Free Cycling!
The scheme is a government initiative to encourage people to cycle and therefore cut down on the amount of vehicle congestion on the roads.
The by-product of this for you is that cycling is cheaper, faster, healthier and better for the environment.
How does it work?
The bike scheme covers bicycles and accessories up to a maximum cost of €1,000.
The bicycle must be purchased by your employer (who re-coups this from your gross income) but the scheme can operate either with your employer bearing the full cost of the bicycle, or by way of a salary sacrifice agreement (like the existing travel card scheme) in which you pay for it, tax free, over 12 months.
Getting started is easy
If your employer decides to take part, they buy the bike and equipment on your behalf, it's between you and your employer to decide whether they buy the bike outright for you or whether you pay for it through a ‘salary sacrifice’. Either way you save on tax.
The scheme is flexible in that your employer doesn’t have to specifically notify the Revenue Commissioners that you’re availing of the scheme and there are no Government forms to fill out. However, your employer does have to maintain the normal records such as invoices and payment details associated with buying the bike.
So its a win win situation for you and your boss. So come in to us and have a look around and we can give you the best advice possible for your all cycling requirements.