Results 1 to 3 of 3

Thread: Travel Allowance - Fixed costs

  1. #1
    New Member
    Join Date
    Jun 2011
    Location
    Cape Town
    Posts
    6
    Thanks
    3
    Thanked 0 Times in 0 Posts

    Travel Allowance - Fixed costs

    Good morning everybody,

    Just have one query regarding the fixed cost portion of the SARS travel allowance table.

    Scenario:

    An employee uses his private vehicle for business purposes.

    The value of his vehicle is R180 000, which equates to a fixed travel allowance of R5544.17 per month as per the SARS travel allowance table.

    But the director of the company only pays him R3000.00 per month as a fixed travel allowance. No pro rata basis is required as the employee has worked for the full 12 months.

    Question:

    Is the company allowed to pay the employee only R3000.00 pm or should the company,by law, abide to the SARS travel allowance rate of R5544.17?

  2. #2
    Gold Member
    Join Date
    Mar 2012
    Location
    Vanderbijlpark
    Posts
    886
    Thanks
    83
    Thanked 381 Times in 298 Posts
    What the company pays him is between him and the company. It can be anything.

    What he can claim from SARS, against the allowance paid, is limited to the data above.

  3. Thanks given for this post:

    JKS (09-Feb-15)

  4. #3
    New Member
    Join Date
    Jun 2011
    Location
    Cape Town
    Posts
    6
    Thanks
    3
    Thanked 0 Times in 0 Posts
    Noted. Thank you Clive.

Similar Threads

  1. Replies: 2
    Last Post: 18-Jul-14, 10:03 PM
  2. Company car vs travel allowance
    By J7J in forum Tax Forum
    Replies: 5
    Last Post: 09-Feb-14, 08:04 PM
  3. Replies: 4
    Last Post: 19-Nov-12, 03:36 PM
  4. Travel allowance and commission
    By QRS in forum Tax Forum
    Replies: 3
    Last Post: 18-Jun-12, 03:01 PM
  5. travel allowance
    By raf in forum Tax Forum
    Replies: 7
    Last Post: 23-Jan-08, 08:04 AM

Did you like this article? Share it with your favourite social network.

Did you like this article? Share it with your favourite social network.

Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts
  •