The Car Tax Cheat Sheet

Your car is one of the most expensive things you will own, and unlike a house it loses value every year. What many South Africans do not realise is that the tax system offers several ways to lower what that car actually costs you. A travel allowance, a company car, or business use can all change your tax picture, for better or worse.

The Car Tax Cheat Sheet starts by showing what you really pay on a car, then breaks down ad valorem excise duty, VAT on vehicles, and the CO2 emissions tax. You will learn how a vehicle can be a business expense, how the travel allowance and logbook method work, and how to compare a company car with an allowance. Further chapters cover import duty for the rare importer, and insurance and running cost deductions.

It closes with a vehicle tax optimisation plan, so you can apply it to the car you already have or the one you are about to buy.