Page 26 - Chapter 32 VAT Part 3

3. . Motor car [s 17(2)(c)]

Are allowed to claim input on a motor car when

[refer priviso’s]:

(i) car-dealer or car-hire business

(ii) car for demonstration or temporary use before taxable supply

(iii) car is a prize for a bet

CRITICAL QUESTIONS?

• Could a VAT vendor which rents a car from AVIS for its

employee claim input VAT on the car rented?

• Could a VAT vendor claim VAT input on its motor car's

monthly insurance premium?

• Could a VAT vendor claim VAT input on its motor car's

maintenance plan?