FAQ Blog Calculators Students Logbook Contact
Do your Tax with TaxTim and WIN R10,000  More info   T&C's apply


Company taxing employee on company petrol usage?

Posted 4 November 2014

Hi Tim

My husband has started at a new company as a sales exec. He gets company petrol as a benefit and they've issued him with a company petrol card. However now I've noticed that they are adding the petrol useage to his earnings i.e. if his basic is R5000 they are adding R4000 petrol (varies every month) and then taxing him on R9000 gross instead of taxing him on R5000. They then deduct the R5000 off again but he's paying a lot of tax every month because of them adding in the petrol. Are they allowed to tax him on company petrol?

TaxTim TaxTim says:
4 November 2014 at 16:30

Does he earn a salary or commission?

Tash says:
4 November 2014 at 16:47

He earns a basic plus commission

TaxTim TaxTim says:
5 November 2014 at 19:43

He would be able to claim his travel expenses. So all the business travel he has done over the year will be able to be deducted from his income and then reduce his tax. He must keep a logbook of all his travel for the year for work purposes and then use the SARS rate per km traveled as the amount to be deducted.

This entry was posted in Tax Q&A and tagged , , , , . Bookmark the permalink.




Do your Tax Return in 20 minutes or less!

TaxTim will help you:

 Do Your Tax Return Easily
 Avoid penalties
 Maximise your refund
Tim uses your answers to complete your income tax return instantly and professionally, with everything filled in in the right place.

Let Tim submit your tax return direct to SARS in just a few clicks!

Get started

Blog Categories


Ask TaxTim

Got a question you want answered about tax?

Visit our helpdesk →

Get SARS Tax Deadlines in your Inbox
We'll tell you when you need to file, along with tax tips and updates.