Transporting of workers

[Ian37]

Is anyone aware of any new legislation regarding the transportation of workers in an open bakkie. Would there be any specific regulations applicable. Looking to replace an existing bakkie with a new one which needs to be business related so input tax can be claimed.

[Mike C]

Hi Ian37. The following is in the draft stages. I don't think that it has been signed into law yet, but will give you an idea of the requirements.


3. Regulation 247 of the Regulations is hereby amended by the substitution for regulation 247 of the following regulation:

Circumstances under which persons may be carried on goods vehicle

(1) No person shall operate on a public road a goods vehicle conveying persons unless that portion of the vehicle in which such persons are being conveyed is enclosed to a
height of-
(a) at least 350 millimetres above the surface upon which such person is seated;or
(b) at least 900 millimetres above the surface on which such person is standing, in a manner and with a material of sufficient strength to prevent such person from falling
from such vehicle when it is in motion.
(2) No person shall convey more than 5 persons in the goods compartment of a goods vehicle, the gross vehicle mass of which is less than 3 500 kilograms.
(3) The provisions of this regulation shall only apply in respect of a person conveying persons as their employer during the scope of employment of such persons.
Provided that no person shall be conveyed in the goods compartment together with any tools or goods, except their personal effects, unless that portion in which such
persons are being conveyed is separated by means of a partition, from the portion in which such goods are being conveyed.".

[Dave A]

That is really interesting. Those regulations are made in respect of which Act, Mike?

[Mike C]

That is really interesting. Those regulations are made in respect of which Act, Mike?

Hi Dave. It plans to amend the NATIONAL ROAD TRAFFIC ACT, 1996 (ACT NO. 93 OF 1996) and was gazetted in May 2015

I have attached the full document for your interest.

GG 38772 Draft NRT Regulations.pdf

[Dave A]

The curiosity with that is motor vehicle licence discs give a passenger count. When it comes to LDVs with seating for two in the cab, that number is two.

Now I've heard of enthusiastic traffic officials fining drivers for having passengers in the load area of an LDV.
I've also heard of safety officers claiming that it is illegal to carry any passengers in the load area.
In both instances they point to the passenger count provided on the motor vehicle licence disk.

[Ian37]

Hi Mike and Dave
Thank you for your input.Really appreciated.
Would you know whether a vehicle such as a Kombi or double cab which is used in a business to transport workers would now rank for a vat input deduction .

[Dave A]

For the double cab - you can't claim Input VAT.
For Kombis, the relief is designed for taxis (where there are fare paying customers only).

Where it gets interesting is in the panel van space. The rule is to claim input VAT, more than 50% of the load plus passenger area should be designated for load (or vice versa - that less than 50% is for passengers).

[Greig Whitton]

There was a Tax Court judgment on this matter several months ago, for those who may be interested.

[PlatinumWealth.co.za]

Very interesting, I was not aware of this actually.

[drycleanerspoint]

That is really interesting.

[SilverNodashi]

Interesting. I wonder how much legal fees they spent to get the VAT back, which was probably between R14-R28K?