Results 1 to 5 of 5

Thread: Tax Deductions

  1. #1
    Platinum Member
    Join Date
    Oct 2008
    Location
    SA
    Posts
    1,520
    Thanks
    207
    Thanked 84 Times in 80 Posts

    Tax Deductions

    Hello All,

    With regards to tax deductions\expenses of a business.

    As I am just starting out I have my car in my name and the insurance policies for them as well as my cellphone accounts, etc...

    As I will be using my car and cellphone for business can these be deducted as expenses even if they not on the business name ?

    Thanks in advance

  2. #2
    Site Caretaker Dave A's Avatar
    Join Date
    May 2006
    Location
    Durban, South Africa
    Posts
    22,648
    Thanks
    3,304
    Thanked 2,676 Times in 2,257 Posts
    Blog Entries
    12
    Are you trading as a sole proprietor or is the business a seperate legal entity?

  3. #3
    Platinum Member
    Join Date
    Oct 2008
    Location
    SA
    Posts
    1,520
    Thanks
    207
    Thanked 84 Times in 80 Posts
    Hi,

    Seperate legal entity, CC.

    Thanks

  4. #4
    Site Caretaker Dave A's Avatar
    Join Date
    May 2006
    Location
    Durban, South Africa
    Posts
    22,648
    Thanks
    3,304
    Thanked 2,676 Times in 2,257 Posts
    Blog Entries
    12
    Structure your pay package to include a car allowance that covers the bills and keep a log book.

    For the cellphone, I recommend you get the account changed into the CC's name.

  5. #5
    Email problem derekjay's Avatar
    Join Date
    Jan 2010
    Location
    Johannesburg
    Posts
    110
    Thanks
    18
    Thanked 46 Times in 28 Posts
    Alternatively, depending on the tax-efficiency thereof, you may want to have the company pay "Right Of Use Of Motorvehicle" - this is a tax amount paid based on the value of the car, which allows you to make all vehicle related expenses from the company (petrol, servicing, repairs, etc). May be worth consulting your accountant.

Similar Threads

  1. Replies: 3
    Last Post: 11-Dec-09, 03:12 PM
  2. Tax Advantages of Proper Asset Accounting for Small Businesses
    By sgafc in forum General Business Forum
    Replies: 14
    Last Post: 05-Nov-09, 07:07 PM
  3. P Gordhan: Taxation Laws Amendment Bills 2009
    By I Robot in forum Tax Forum
    Replies: 0
    Last Post: 01-Sep-09, 07:10 PM
  4. Flat tax rates for SA.
    By Dave A in forum General Business Forum
    Replies: 3
    Last Post: 13-Apr-07, 10:25 PM

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
  •