Sars company car log book

Become an affiliate taxtim namibia how taxtim works what taxtim costs refund policy jobs at taxtim employee assist clerk assist vehicle. During the month period the three motor vehicle was parked in the office garage for part of the time and at zs house for. Sars will request these logbooks during a verification and or audit. Company cars, personal use, and paye northwood group. This logbook enables you to claim a deduction from income tax for business travel.

The south african revenue service reserves the right to audit and query the. What you need to know about travel allowance in south africa. The template accommodates multiple vehicles and can also be used to calculate travel charges for. Fleet managers can obtain mileage travelled which can be used to calculate cost per kilometer per vehicle. Dec 01, 2017 when if sars select the company for an audit, the sars auditor will have random interviews with the employees to ensure the pool car is available and used by all. Travel log book 2019 download here ctf provides you with a workable sample here car log book. This enables all users to view their trip history at anytime and anywhere, from all major web browsers using our intuitive and troublefree gps log book web interface. It pays to travel the sa institute of tax professionals. Little logbook is a gps device that plugs into your vehicle lighter socket and logs mileage as you drive. If you are looking to create an excel logbook for sars and you want it to include the dates for working days only, you can easily create it in excel using the workday function. A separate logbook must be kept for each motor vehicle where more than one motor vehicle has been used. Free excel logbook for sars download at the bottom of the page. If you use your own car to travel for business, you need to keep a sars logbook to record how far you drive for business purposes. A car logbook can help you get the most from your legitimate workrelated vehicle use.

A taxable benefit shall be deemed to have been granted where an employee is granted the right of use of any motor vehicle for. Statistics for code 3816 is not available from sars and is shown under other. This logbook enables you to claim a deduction from income. The first question by the buyer is always regarding the log book. It allows you to keep track of business and private trips. In fact, all tax payers with a car need to submit a logbook to sars. The details of that certain person are also included in the log book. Vehicle log book enables a user to record all vehicle related details and info at a place in an organized manner that can be used to claim car expense dedications when making income tax return. The gps log book device plugs into the cigarette lighter in your car and automatically records all vehicle mileage.

The logbook should contain a detailed record of your business mileage for the tax year i. After the data has been uploaded to the gps log book server, via a user friendly online interface, then sars. Driving a company car could result in a tax refund the sa. The log book must reflect the business use of the vehicle.

Driving a company car could result in a tax refund tuesday, 19. Travel allowances and logbooks must be accurate iol. But if you want a no hassle, easy to use log book, this is it. Log book records are maintained for a period of 121 weeks in one year the logbook year and are valid for five years. Company carsfor the rates for other tax years please visit. Sars supplies youll find this table in the introduction section to the travel elogbook calculate your claim based on actual costs. The original cost of the vehicle paid by the employer excluding any finance charge or interest payable, if the car was purchased through a bona fide arms length agreement of sale or exchange. Maintaining a good vehicle log will help you in analyzing about the total expenditure incurred at the end of month. Data line managers can track employee whereabouts should it be questioned. Vehicle logbook app for recording work trips taxtim sa. Without a logbook you wont be able to claim the cost of business travel against your travel allowance. How to cruise through a travel audit efficiently taxtim blog sa. Sars may contact the individual to have the logbook corrected during the.

If you have an employee who has been assigned a company car this taxation process is essential in order to comply with sars. Once the person succeeds in proving his ownership, he becomes liable to register the vehicle and pay the tax. Let tim submit your tax return direct to sars in just a few clicks. The same minimum information as set out above is also required for company cars.

From the beginning of march, the fringe benefit the private use of a company car is calculated on the cost of the vehicle to the company. If a person is a company owner or heshe is working for any organization, the log templates. Advanced telemetric and gsm technology, gps log book. Sars logbook for business travel mybroadband forum. That is the reason why vehicle log book is becoming the most important and popular way to measure and claim car usage expenditures. Tax planning log book sars have now made it compulsory to have a detailed car log book. In order to claim such a deduction, an accurate record of mileage travelled is required. Always keep your sars travel logbook safe and secure.

Tax news company cars, tax and take home pay the future of the company car is looking bleak it would seem. An employee has very little left in terms of structuring or tax saving. Sars often disallows logbooks that do not meet its minimum criteria. Employees who have the use of a company car may sometimes use the vehicle for personal use this is a fringe benefit which must be taxed by adding it to the employees paye each month. It is mainly because the log book is proof of how well you have maintained your vehicle. The company even sends an email to prompt you to sync the log book with your computer at home. Many payroll professionals struggle to come to grips with the south african revenue service s. A separate logbook must be kept for each motor vehicle where more. You can even calculate your claim using the calculator on the gps log book website, based on the 20152016 sars cost table, which will provide you with an approximate claim amount.

Calculating a travel deduction if you are in receipt of a travel allowance introduction it is now compulsory to keep a logbook of all your travel in which you. Jun 29, 2019 many payroll professionals struggle to come to grips with the south african revenue service s. Fortunately, there are several mileage tracking applications available for apple and android smartphones that make use of the phones gps to keep track of every milekilometer driven for business purposes. Fringe benefits right of use of motor vehicle sa tax guide. When if sars select the company for an audit, the sars auditor will have random interviews with the employees to ensure the pool car. The maintenance of a logbook is very important and, as clearly noted in the sars travel logbook, sars reserves the right to audit and query the content and information recorded by a. In either case, it is crucial to keep an accurate logbook, recording all business travel undertaken during the year of assessment. The fringe benefit of using a company provided vehicle is recorded under codes 3802 not on operating lease and 3816 on operating lease. Is it required to submit a logbook as proof of deprecation. From the beginning of march, the fringe benefit the private use of a company car is calculated on the cost of the vehicle to the company now including vat, at a rate of 3. A sars approved log book is available from your local tax office, specially designed to enable accurate logging. If you dont mind writing down your mileage day to day and subtracting stops and starts, be my guest.

Our sars compliant travel logbook allows you to keep track of and consolidate your travel claims throughout the year. It is compulsory for the owner of the vehicle to have a log book of the vehicle maintained. Trans 8 provides for dealers to keep vehicle information electronically provided it can be output in the same format as the motor vehicle log book. A log book is essential for your vehicle especially when you plan to sell your car. Use this log book template to compile a complete vehicle logbook for all business and private travel.

Cars must be maintained by the employee responsible for the car, in terms of the log book and drivers must ensure that regular services are carried out in accordance with the manufacturers recommendations. It is compulsory for the owner of the vehicle to have a log book of the vehicle. Calculating a travel deduction if you are in receipt of a. Keeping your sars travel logbook in order used to be a headache. If an employee makes use of a company vehicle owned by the employer, the taxable value of the vehicle must be added to the employees remuneration each month the fringe benefit value is calculated as a percentage of the determined value of the car as per the sars. For fbt, one log book must be maintained for each car where multiple cars are provided by an employer. So each time a certain vehicle enters a property, an entry will the be added on the vehicle logbook. Your claim is based on the business use percentage of each car expense. Travel elog book sars logbook used to claim a deduction. Travel elog book sars logbook used to claim a deduction on. Fifthly, calculate your total business kilometres for the year sum of all.

Company cars are taxed at a certain rate and subject to a specific. It would depend on the car that is being offered and the value of it versus the amount of the travel allowance you are being offered. Is it required to submit a logbook as proof of deprecation for a motor vehicle used for business purposes or do we have grounds for an objection. This makes the car logbook method really quite convenient to use. Mslb is a crossplatform simple logbook program application to write work logs or even a diary.

That is the reason why vehicle log book is becoming the most important and popular way to measure and claim car. We assume that the client medical practitioner is trading in his or her own name, i. Company cars acquired before 1 march 2015 the determined value of company cars acquired prior to 1 march 2015, is defined as. The determined value would generally be the original cost of the vehicle. A taxable benefit shall be deemed to have been granted where an employee is granted the right of use of any motor vehicle for private or domestic purposes, the cash equivalent of the value of the taxable benefit shall be so much of the value of the private use of such vehicle as exceeds any consideration given by the.

The determined value would generally be the original cost of the vehicle to the purchaser and excludes any finance charges, interest, vat. If the taxpayer finds keeping an accurate logbook too cumbersome, they. These include fuel, oil, repairs and maintenance, insurance, car. Sars will reduce the value placed on the private use of the car by the proven business kilometres, provided it is substantiated by an accurate and. Where a petrol card is issued to the employee, the amount of petrol would also be. The south african revenue service reserves the right to audit and query the content or information recorded by the taxpayer in any logbook. From that, you can work out the deemed expenditure with the help of a schedule from sars. If a person is a company owner or heshe is working for any organization, the parent teacher communication log.

A typical rental vehicle log book contains details of the vehicle the sheet is about along with the details of when and why the vehicle is rented out to a certain person. Jan 30, 2020 vehicle log book enables a user to record all vehicle related details and info at a place in an organized manner that can be used to claim car expense dedications when making income tax return. A vehicle log book is a document which is used by many vehicle owners to prove their ownership. Company cars effective 1 march 2011, employees may also be entitled to claim a reduction. Updating the vehicle log on daily basis will also give you the true value of your asset by the end. Travel log book 2018 download here travel log book 2017 download here travel log book 2016 download here. Travel elog book sars logbook used to claim a deduction on personaltax when can you claim.

As said above use the same headings and keep all the required information eg reason for trip where business. I work for a motor car company and drive many vehicles, which. Jul 19, 2011 with effect from march 1 this year, sars increased the monthly taxable fringe benefit on motor vehicles. Vehicle logger is the easiest and simplest way to create, share and report vehicle log books for mileage, fuel, expenses, and tax purposes. Matrixs electronic gps logbook easily compiles your fuel logbook and travel logbook. A key gps log book differentiator is the ability for users to generate sars compliant logbook reports for use with personal income tax returns. We have a vehicle log book, as the name implies, used for vehicular pass. Manually entering trip information in a log book is tedious, particularly if you make a lot of business trips. Motor vehicle log book is used to record vehicles taken in trade and sold at a dealership.

In the case of an employee being provided with a used vehicle, the tax payable will be calculated at a rate stipulated by sars. It is important to note that an employee cannot claim deductions against a travel allowance if they receive the right to use a company car. How to claim your car expenses the car logbook method. Visitor log book is also one of the most common types.

Calculate your claim based on the cost scale table which sars supplies youll find this table in the introduction section to the travel elogbook calculate your claim based on actual costs. If the vehicle is acquired under an operating lease, the taxable value is the cost incurred by the employer plus fuel. During the 20 tax year, z had a serious car accident and did not drive the motor vehicle for three months while it was being repaired and while z was recovering from injuries. Use it as a source of information when compiling your income tax return itr12. Aug 01, 20 if you use your own car to travel for business, you need to keep a sars logbook to record how far you drive for business purposes. If you have an employee who has been assigned a company car this taxation process is essential in order to comply with sars regulations. The importance of a logbook and its 3 main advantages. Gps logbook combines fuel logbook and travel for tax purposes. Sars released trade statistics for february 2020 recording a trade surplus of r14. Kindly note that your logbook must be in a sars approved format, you can. Furthermore, the determined value of the company car. The software generates tax compliant reports so you can claim from the taxman. Maintenance or service records traveling has become the most important part of life that one vehicle mileage log book.

Sep 17, 2012 employees who have the use of a company car may sometimes use the vehicle for personal use this is a fringe benefit which must be taxed by adding it to the employees paye each month. How to calculate your travel allowance when submitting tax click here. Mar 29, 2018 if you use the log book method for income tax for multiple cars, the log book for each car must cover the same period. In any establishments, especially in a company setting, a visitors log book is often used.

Travel between an employees home and place of work is also regarded as private travel, for which you cannot claim money back from sars. Fringe benefits right of use of motor vehicle south. In fact, all tax payers with a car need to submit a logbook to sars with their tax return. The gps log book device plugs into the cigarette lighter in your car and. Even if you get a new car during that 5year period, you can continue to use the old logbook as long as your workrelated use hasnt changed up or down. This will allow securities to keep track and know information as to who are the people visited the premises, what time they logged in and logged out. If you are looking to create an excel logbook for sars and you want it to include the dates for working days only, you can. Meals, refreshments, vouchers, board, fuel, power or water which are. After the data has been uploaded to the gps log book server, via a user friendly online interface, then sars compliant log books can be created. Meals, refreshments, vouchers, board, fuel, power or. Ensure that detailed logbooks are kept for each pool car.

The template accommodates multiple vehicles and can also be used to calculate travel charges for invoicing to clients. These expenses include fuel, oil, repairs and maintenance, car licence, insurance, wearandtear and finance charges or lease costs. May 16, 2019 calculate your claim based on actual costs. Get your sars travel logbook app from taxtim to record work travel kilometres via your mobile phone. The salary structuring landscape has evolved significantly in the past ten years. If you use a vehicle for your own business or for company kilometres, you need to keep track of the distances you travel andor fuel usage in order to claim a travel allowance and sars fuel rebates. Now you can keep your vehicle log book up to date with oneclick simplicity from taxtim. In the case of an employee being provided with a used vehicle, the tax payable will be calculated at a rate stipulated by sars at a 15 per cent price reduction on the original purchase price, per annum.

Understanding the company car the sa institute of tax. Alternatively, you can also claim expenses on actual costs in which case you will need to keep accurate records of all your expenses, as well as a log book. Sars increased the monthly taxable fringe benefit on motor vehicles. The commonly used quote from a ruling in 1935 between the duke of westminster and the commissioner of the inland revenue every man is entitled, if he can, to order his affairs so that tax under a tax status is. Log book entries must be made at the start and end of each travel journey. If an employee makes use of a company vehicle owned by the employer, the taxable value of the vehicle must be added to the employees remuneration each month the fringe benefit value is calculated as a percentage of the determined value of the car as per the sars guide here and the percentage will depend on whether the original purchase price included a maintenance plan.

This is probably the best mileage log book you can purchase. This is determined by a log book that must have been kept for. If you receive a travel allowance from an employer or principal, you can claim a deduction on assessment of your annual income tax return for the use of a private motor vehicle for business purposes. Driving a company car could result in a tax refund the. Gps tracking or manual entry for vehicle mileage either km or miles. Mslb can also use a bunch of presets that you can add with a simple doubleclick. To do this, youll have to keep an accurate record of all your expenses during the year, in addition to keeping a log book. This log book will be subject to periodic examination by the company. According to the proposed amendments, company cars would be taxed at a rate of 4%t of the determined value of the car on a monthly basis. Mar 28, 2018 a sars approved log book is available from your local tax office, specially designed to enable accurate logging.