Petrol Allownace

Maelly

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Jun 14, 2006
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I get Petrol Allowance at my company (R2.46 per KM). I joined this company late Jan this year. Shortly after that I got to use a Company Car:cool:.
While I was still using my own car claining the mileages I used to make an average of 3 grand per month!!! But since I started using the car there's no more cash flow:(. So I decided to hand back the car and use my car instead.

However, since January this year, the petrol price has increase with about over R2:(, the staff talked to the CEO but we were told that R2.46 is the maximum tax-free petrol alloance that an employe can get, otherwise should they increase it we will have to pay tax.

Is there a document/ policy or something where one can verify this?
 

gifs

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Mar 1, 2007
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Read this from SARS, seems like the rate for 2008/9 is R2.92 (was R2.46 for 2007/8)

http://www.sars.co.za/home.asp?pid=4150&tid=65&s=pubs&show=812#SARS Travel Logbook: 1 March 2008 to 28 February 2009

"Where the distance travelled for business purposes does not
exceed 8 000 kilometres per annum, no tax is payable on the
reimbursement paid by an employer to an employee, up to
the rate of 292 cents per kilometre regardless of the value of
the vehicle.
• This alternative is not available if other compensation in the form
of an allowance or any other reimbursement is received from
the employer in respect of the vehicle."
 
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Brewmaster

"That guy"
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Oct 10, 2005
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petrol allowance? R2.92/km? i want one too :(
quick maths,

my car does around 17km/l combined, and has a 75l tank, so does (17*75) 1275kms per tank

filling the 75l tank with diesel at R11,40/l gives (75*R11.40) R855

if i got a petrol allowance of R2.92, then i could claim back (2.92*1275) R3723

so in essence, i would be netting (3723-855) R2868 per full tank!

and, i usually fill up thrice a month, so i could earn an extra (2868*3) R8604 per month! craziness! thats a mortgage on a decent house!

or, am i completely missing something with my maths?
 

xrapidx

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Feb 16, 2007
Messages
36,720
You forgetting running costs, e.g. servicing, oil, tires, resale value with the added km's.
 

Brewmaster

"That guy"
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Oct 10, 2005
Messages
5,167
but wont most of the running costs be covered by warranty?

as for the rest, i would have incurred all those costs anyways, right?

damn some people are lucky.

imajin: "eish, boss, all my friends get petrol allowances..."
boss: "ok, firstly, you dont drive a petrol car, and secondly, if you did, are you saying u'd like to go work with them?"
imajin: :/
 

venom

Senior Member
Joined
Aug 28, 2005
Messages
723
petrol allowance? R2.92/km? i want one too :(
quick maths,

my car does around 17km/l combined, and has a 75l tank, so does (17*75) 1275kms per tank

filling the 75l tank with diesel at R11,40/l gives (75*R11.40) R855

if i got a petrol allowance of R2.92, then i could claim back (2.92*1275) R3723

so in essence, i would be netting (3723-855) R2868 per full tank!

and, i usually fill up thrice a month, so i could earn an extra (2868*3) R8604 per month! craziness! thats a mortgage on a decent house!



or, am i completely missing something with my maths?
Bad maths ^^^^ :(


you pay R855 per tank

but with the R2.92 allowance you only pay (11.40-2.92)*75 = R636 per tank

giving you a saving of R855-R636= R219 per tank

Soooo you're not making any money........

EDIT: My bad didn't see it's R2.92 per Km
 
Last edited:

Brewmaster

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5,167
Bad maths ^^^^ :(


you pay R855 per tank

but with the R2.92 allowance you only pay (11.40-2.92)*75 = R636 per tank

giving you a saving of R855-R636= R219 per tank

Soooo you're not making any money........
ja but in maelly's case he gets R2.92 per KILOMETER not per LITRE...
 

eye_suc

Expert Member
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Feb 14, 2005
Messages
3,647
Bad maths ^^^^ :(


you pay R855 per tank

but with the R2.92 allowance you only pay (11.40-2.92)*75 = R636 per tank

giving you a saving of R855-R636= R219 per tank

Soooo you're not making any money........
wait, isn't that 2.92 per KM?
 

skig

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Aug 9, 2006
Messages
260
Our company just upped it to R3,50.... does that mean I will now be taxed on the extra 58c/km paid to me?
 

Maelly

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Jun 14, 2006
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Our company just upped it to R3,50.... does that mean I will now be taxed on the extra 58c/km paid to me?
I would think so, but not quite sure how is the tax actually calculated.
 

gifs

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So, which file to look here:eek:
This one:
SARS Travel Logbook: 1 March 2008 to 28 February 2009

It also explains how to calculate the tax you pay of you get more than the R2.92 per km.
 

lauret

Member
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Feb 26, 2010
Messages
19
Could someone please assist me, having a blond moment and im struggling to work out what i should be getting paid per klm i use for business travel. I am currently being paid R0.85c per klm, this doesn't seem right, feel like im paying more than im claiming back? Any assistance would be greatly appreciated!
Thanks
 

Kosmik

Honorary Master
Joined
Sep 21, 2007
Messages
19,157
Could someone please assist me, having a blond moment and im struggling to work out what i should be getting paid per klm i use for business travel. I am currently being paid R0.85c per klm, this doesn't seem right, feel like im paying more than im claiming back? Any assistance would be greatly appreciated!
Thanks
Contact the AA, they will give you a reasonable estimate of what you should be re-imbursed per km. Remember it also includes Maintenenace and Wear and Tear, not just petrol.
 
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