How many times have you been tempted by the prospect of buying a shiny, new car, only to be put off by the thought of hefty down payments, challenging loan approvals, and the dreaded maintenance costs? Well, welcome to the age of corporate car leasing in India, where all these concerns are conveniently addressed! It is popular among savvy professionals and progressive businesses in urban India because employee car lease offers several benefits.
It notably provides car lease tax benefits, making employees and employers rethink traditional car ownership. Interesting? Let's get started!
Understanding corporate car leasing
Before we dive into the perks such as car lease tax benefits, let's first understand what it truly means. Corporate car leasing is a modern mobility solution where a company leases cars from a provider for its employees. Instead of buying and maintaining a fleet of cars, companies can easily lease them for a fixed term, thereby turning potentially daunting upfront purchasing costs into manageable monthly expenditures.
This model has two key variants: wet leasing (which includes maintenance costs) and dry leasing (where you're on your own for vehicle upkeep). Today, we're focusing on the myriad car lease benefits in India that come with such arrangements.
1. No down payments needed
First things first - let’s talk about money aspects. One of the most attractive features of corporate car leasing is that it doesn't require any down payment. This significantly reduces upfront financial burdens for employees who might struggle to gather enough funds for an outright car purchase.
2. Maintenance benefits
Every vehicle needs upkeep, and these costs can quickly add up. Regular oil changes, tyre replacements, brake repairs - the list goes on. Now, add some unexpected damages to that list, and you've got a pretty hefty bill.
But here's where the beauty of wet leasing comes into play. In this type of corporate car lease arrangement, the leasing company takes care of maintenance expenses - meaning that as an employee, you don't have to bear these costs out of pocket. It's a win - win situation!
3. Hassle-free car replacement
One significant advantage of corporate car leasing in India is the ease with which you can upgrade or replace your vehicle during lease renewal. Not only does this provide employees with better comfort and safety, but it also stays compliant with India's recent vehicle scrappage policy.
To illustrate this further, consider the scenario where your leased vehicle has reached its 15 - year lifespan. With traditional ownership, you would have to go through the hassle of arranging a fitness check or potentially getting your beloved car scrapped. However, in a lease agreement, you hand over the keys and pick up a newer model - all without any green tax worries!
4. Tax savings
Perhaps, one of the most appealing aspects of corporate car leasing is car lease tax benefits - a factor that cannot be underestimated in today’s economy! Leasing a car can help you save up to 30% of your vehicle - related expenses from getting taxed. The employee using the car must show that it is regularly used for company - related purposes, and they can enjoy tax benefits on the lease amount, fuel costs reimbursement, and even the driver's salary.
5. Simpler approval than auto loans
There’s no denying it - securing an auto loan can be a hassle, with approvals often taking several days, if not weeks. The paperwork alone makes even the most patient among us cringe. But here's where corporate car leasing shines brightly once again - you can get your lease approved within 24 hours, all without the need for cumbersome paperwork!
6. Insurance coverage
Apart from company car lease tax benefits in India, it also obliterates the hassles of dealing with vehicle insurance. In corporate car leasing in India, insurance coverage is usually included in your monthly instalments. This covers repair and maintenance costs for theft and accidents, meaning employees need not worry about insurance renewal.
Conclusion
In summary, corporate car leasing brings an impressive array of benefits to the table - from zero down payments and maintenance perks to hassle - free car replacements, significant car lease tax benefits, quick approvals, and comprehensive insurance coverage. These advantages make it an excellent alternative to traditional car ownership models.
If you're looking for a flexible mobility solution that ticks all these boxes (and more!), why not consider Quiklyz? With our comprehensive corporate car leasing solutions, we aim to redefine personal mobility by offering hassle - free access to a broad range of vehicles.
