car allowance

Quote:

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Originally Posted by Tusker

This sounds like a reimbursement, not an allowance.

An allowance is paid whether you use the car or not. Its taxed (unless you lodge a variation) & it appears on your PAYG summary at the end of the year.

A reimbursement is just an expense claim like any other expense. Put the claim form in & get reimbursed accordingly.

Regards
Max P

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yep thats a better was of putting it.........thanks

Wish i could pay my guys a car allowance,save a lot of hassles.

Their answer would be..........i am out of here.

But ,good tradies are hard to find,just like rocking horse poo.......

So i suppose they will still be driving my vehicles around,and forgetting to check the water,oil,tyres,etc,etc.......

I am paid a car allowance.

The company no longer provides company cars (free) but expects that I should have a car to do my job.

So they pay me an amount on top of my wage that is taxed at the marginal rate. Whenever I use the vehicle for work purposes I can claim that use as a tax deductable expense usually at the ATO's rate per Km.

I'm reimbursed at $0.85/km at the moment.

My employer is being pretty good to me at the moment though :eek:

Cheers.

My employer pays $160 p/w for employees to use their own car, or for those who are on a "reserve contract" where they can be sent anywhere any day, they get about $5 p/h on their hourly rate, which also includes holiday pay, is paid at penalty rates for overtime, and contributes to super etc.

They tried offering $120 (about 3+ years ago), but when it went to arbitration, the commisioner made it $160.

Before that, they pais about $0.60 per km (depending on engine size) or gave you the option of taking a TAXI. This is better for the employer now, as one can only imagine what a peak hour taxi across Melbourne, to and from work would cost.

15 years ago, I guy I knew was being paid $3 per km to use his 4WD to distribute Govt surveys in the Kimberley.

in any case pretty sure you can claim the difference between what your employer pays you and what the ato pays

I always go the ATO rates.

I wouldnt recommend claiming through the company then the ATO. Just do one or the other. Otherwise your payment summary, in most cases shows the mileage paid as a allowance.

If you clain both the ATO alarm bells ring, because it looks like double dipping. Still legal, if you are not double dipping however i dont like the ato to look to close to my tax returns :angel:

Dorko

I'll look the govt ones up tomorrow if I get a chance.

I agree with you it's a bit skint. However consider a trip of 10km. They will pay you $5.50, yet your fuel cost will be under $2 for that trip in your fender.

So, if it's only an occasional thing I wouldn't loose too much sleep about it. But I can understand the principle.

The other option is to ask for a cab voucher :D:D Probably by the time you stuff around filling in the form, someone in HR processes it and passes it to payroll, and someone over there does a one off it may well be cheaper...

I am paid 0.83c / km the first 5000 ks tax free I use my D3 every day and
average about 150k a day for work just around Brisvages.
That is the Qld Goverment rate for the pay scale I am currently on.
If I get an up grade it will drop to 0.69c/km.