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Re: Petrol reimbursement added as an allowance

Newbie

Views 522

Replies 2

My employer reimburses my petrol consumption as I give them the petrol receipts and I don't keep a log book of my trips. Should this be on my PAYG statement as an allowance or as a fringe benefit? They are showing it as an allowance and so I am then paying tax on my reimbursement. Am I then able to claim this as a deduction on my tax return? Is this correct?

1 ACCEPTED SOLUTION

Accepted Solutions

Most helpful response

Champion

Replies 1

Hi @Elouise,

 

Thank you for contacting us.

 

The car expenses can be paid under allowance or fringe benefit tax - this is depending on the agreement between you and the employer. If the employer paid the car allowance and reported in your payment summary, it's an assessable income and you have to pay the tax. Yes, you can claim the deductions for the expenses but require record keeping obligation - receipts, diary or logbook. You can use our myDeduction tool to keep your records.

 

Hope this helps!

2 REPLIES 2

Most helpful response

Champion

Replies 1

Hi @Elouise,

 

Thank you for contacting us.

 

The car expenses can be paid under allowance or fringe benefit tax - this is depending on the agreement between you and the employer. If the employer paid the car allowance and reported in your payment summary, it's an assessable income and you have to pay the tax. Yes, you can claim the deductions for the expenses but require record keeping obligation - receipts, diary or logbook. You can use our myDeduction tool to keep your records.

 

Hope this helps!

Newbie

Replies 0

This is very helpful. Thank you so much!