Page 29 - F6 Slide - Taxation - Lecture Day 3 F

Income from Employment

Allowances

• When an allowance or advance is based upon the actual distance

travelled.

• The rate deemed to be travelled for business km is publicized in the

government gazette.

• The rate can only be used if the following 2 conditions are met:

a) Total distance travelled for business km must not exceed 8000km,if

two cars are used the total distance travelled should not exceed 8

000km.

b) No other allowance or reimbursive may be payable by the employer

to the employee in respect of the vehicle.

The use of the provision is elective.

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