Company car taxed more
THE tax on new or used company cars benefits have been amended and, with effect from Sunday, March 1 the fringe benefit tax will be based on the higher, listed retail value of vehicles, not their discounted fleet prices.
Vehicles bought on or before Saturday will still be taxed on the lower value.
The monthly fringe benefit, for tax purposes, for employees is deemed to be 3,5% of the “determined value” of the vehicle.
National Treasury/the SA Revenue Services are expected to issue the Taxation Laws Amendment Act 2014 regulations next week to define “retail market value”.
— Witness Reporter.