3 work related expenses, where do I allocate them and how much?
By Evan Robinson · Updated
I spent R4 085.53 on vehicle maintenance tyres, 25/08/2014. I spent R25 748.85 on cellular bills, at least 60 to 70 percent of this annual bill was work related (14/15). I spent R5 553.44 on vehicle insurance for the year (14/15).
My question is, where would I associate these expenses to?
My question is, where would I associate these expenses to?
Do you receive a travel allowance or employer provide vehicle?
Is it written into your contract that you use your car and phone for work? It would appear you have already submitted your tax return to SARS and claimed for depreciation which would be the business portion of the wear and tear of your car.
It could most definitely provide a letter from my previous employer that I used my mobile and motor vehicle for business purposes. The depreciation that had been calculated was the asset value of my vehicle (or percentage thereof). That depreciation excludes any of the 3 items included in my original question.
Unfortunately the other expenses would not be deductible, only the depreciation. How do you use your car for work purposes other than driving to work from home and back?
Use my car for home to work and visa versa, travelling to clientele on a daily basis however my salary is only structured on a basic salary without a vehicle allowance. Shall I request this be changed?
Yes you should ask your employer to pay you a reimbursive travel allowance for the work trips you do which if you are paid at the SARS rate and do not travel more than 8000km then you will not be taxed on.
I don't travel more than 8000km per month, and what would the recommended cash component be for a reimbursive travel allowance? Just need to know what aspects to cater for out of that figure?
This amount would be R3.18 per km for the 2016 tax year. If you travel under 8000km then they can reimburse you at that amount tax free.