My current salary package is Cost to Company. Does this mean I pay the medical aid or does the company pay it. The other issues is that I get a fuel allowance, but its not put into my salary. I have a fuel card.
If the fuel cost is for business use only then you won't be taxed on this. The medical aid is paid out of your cost to company, but the company will pay it for you. You will be taxed on this as it is effectively earnings, but you will receive a tax credit depending on the number of members you have on the medical aid.
Trevorsays: 11 June 2013 at 7:37
Hi Tim, many thanks for your prompt response. When you say tax credit on depending how many members, I have 3 members together with myself. Do I just fill it in on the required fields on eFiling stating that the company pays the entire portion.
TaxTimsays: 11 June 2013 at 9:42
If your IRP5 certificate already appears on eFiling then you don't need to complete any contribution amounts. However on the medical aid section you would indicate how many members there were on your medical aid each month, including yourself.
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