Page 52 - Taxation F6 - Income From Employment

Income from Employment

Fringe

• If the employee is supplied with 2 houses which he/she is required to occupy from time to
time when preforming his duties the cash equivalent is based on the house with highest

value.

• Accommodation which is provided by the employer while he is away from his usual place

in SA for purposes of preforming his duties has a zero value.

• When an employee with an interest in the accommodation and he lets the
accommodation to the employer and is then given the free use of it again the rental value

is the greater of:

• Rentals or costs payable by the employer or

• Formula

• The rental will not be deemed to be received or accrued to the employee and hence the
employee may not deduct any expenditure relating to the accommodation.

• An employee has an interest in the accommodation if he or connected person to the

employee:

- owns the accommodation

- any increase in the value of the accommodation accrues for his benefit.

- has a right to acquire the accommodation from his employer.
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