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| The tax man has turned over a rock in SA's car buying habits. Much like British building-twisting artist Alex Chinneck did with the artwork he made to help launch the new Opel Corsa. |
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”.
