I have a few questions on Allowances / Fringe benefits and how they should be treated on the payroll and also for PAYE.
1) Fuel allowance: If an employee's fuel, services, etc is reimbursed in full (ie. either fills up with a card or gets reimbursed the full amount that was spent on fuel etc.) - Do you put only the personal use portion on his payslip and then he will be taxed on this personal use only? Or do you put the full amount on the payslip and then he will be taxed on the personal and business use (sounds unfair to do it like this).
2) Company Car Fringe Benefit: If an employee uses a company car and is reimbursed for his fuel, services etc. in full as well, is it only the Company Car Fringe Benefit that must be put on the payslip (ie. it includes the fuel, etc in the percentage that is applied to the car's value)? So you won't have a fuel allowance and a Company Car Fringe Benefit if the employee uses only one company car and the fuel relates to this company car?
3) Cellphone allowance: If an employee has a cellphone that is paid by the company in full (business and personal calls) - do you only put the personal portion on the payslip and he will be taxed on this portion only or do you put the full amount on the payslip and he will be taxed on the full amount?
Do you put the above allowance on the payslip including or excluding VAT (if the employer is a registered VAT vendor)?
Your advice will be appreciated. Thank you very much in advance.