Car allowance 100% taxed as other allowance
By Evan Robinson · Updated
Towards the end of the year I received a car allowance. However at this stage I was not sure of how many kilometers would be done for business. Therefore the allowance is now reflected as other allowance and is taxed 100%. How do I now file my tax returns against travel as it is not reflected under 3701 or 3702 on the IRP5?
Did you keep a logbook?
Yes a logbook, fuel and insurance fees have been recorded. No maintenance fees other than maintenance plan.
The company needs to reissue the IRP5 with the correct travel allowance else SARS will cause difficulty when you try and claim against this.