Print Page   |   Report Abuse
News & Press: Technical & tax law questions

Claiming business travel expenses against travel allowance where vehicle is in another person's name

17 March 2014   (0 Comments)
Posted by: Author: SAIT Technical
Share |

Author: SAIT Technical

The answer to this query is based on legislation as at 2014/03/17.

Q: My query is can a taxpayer claim against a travel allowance for use of a vehicle which is registered in his mother-in-law’s name but for which he bears all the costs? 

A: Section 8, sub-para (b)(ii): "…in respect of any motor vehicle used by the recipient,..” Your client should be able to prove to the satisfaction of SARS that he bears all costs relating to that motor vehicle. This might include proof that your client pays the motor vehicle, and perhaps an affidavit from his mother-in-law confirming this and also that she does not claim the vehicle in her personal return for tax purposes.


WHY REGISTER WITH SAIT?

Section 240A of the Tax Administration Act, 2011 (as amended) requires that all tax practitioners register with a recognized controlling body before 1 July 2013. It is a criminal offense to not register with both a recognized controlling body and SARS.

MINIMUM REQUIREMENTS TO REGISTER

The Act requires that a minimum academic and practical requirments be set to register with a controlling body. Click here for the minimum requirements of SAIT.

Membership Management Software Powered by YourMembership  ::  Legal