Counting the cost of car guards’ flashy gift

2010-01-20 00:00

CAPE TOWN — The pricey sports car which was given as a present to car guards in the city by Howick property developer Rob Taylor will end up costing the guards more than it will benefit them.

An annual insurance figure of over R60 000 as well as high fuel consumption costs will feature in their future.

The car’s insurance can, on average, cost three percent of its total value.

Taylor gave the eight car guards at the cable car station on Table Mountain a brand-new Audi R8 5.2 and R20 000 in cash.

Since then, they’ve been collecting money for needy people.

In December last year, the Audi was bought for R2,03  million.

The guards thus have to shell out a further R5 075 per month for insurance.

Martin Nahimana, one of the car guards, said they make only about R400 per week in donations from the public — which are received through a small slit that has been made on the car’s bonnet. The money is donated to charities.

A silver lining is that the car is free of capital gains tax.

The Angel’s Way Trust, the registered owner of the vehicle, will have to pay a further donations tax of 20% of the car’s value, according to Chemus Taljaard, a tax expert from Werksmans Tax.

The trust must therefore pay a total tax amount of R406 000 per year.

According to David Percival, a dealer with Audi Cape Town, the cost of servicing the car is about R2 000 per service, and the car must be serviced every 30 000 km.

Marnus Hattingh, editor of MotorBurger, said that “at 16,5 litres per 100 km, the car’s fuel consumption is heavy — if you’re easy on the accelerator”.

He added: “In city trafic, the consumption can easily climb to 20 litres per 100km.”

He said the average use of a normal car is 10 litres per 100km.

Filling the car’s 90 litre fuel tank will set the car guards back almost R700.

Hattingh recommends that the driver of such a sports car should have an advanced driving licence, since this type of vehicle accelerates much faster and brakes much more sharply than a standard vehicle.

“The inexperienced driver can thus easily lose control should he be too quick with the accelerator around a bend.

“To use and enjoy the potential of such a car, you need to have done an advanced driving course. The cost of such a course runs at over R1 000,” said Hattingh.

A local panelbeater said the vehicle’s front tyres cost about R5 000 each, while the back tyres can cost up to R10 000.

A lawyer said the car guards can sell the car. However, since it is registered in the trust’s name, the trust must first give its approval.

The car has since been moved to Camps Bay.

 

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