Blog Q&A Calculators Students Logbook Contact

How is vehicle capital payback calculated?

Posted 25 June 2015 under Tax Q&A
Dugald says:
11 June 2015 at 12:51

If a vehicle is bought when having a vehicle allowance, how much can you claim for the capital

This entry was posted in Tax Q&A and tagged , . Bookmark the permalink.

TaxTim TaxTim says:
11 June 2015 at 12:59

You are referring to wear and tear allowance, which is a third of the cost of the vehicle, incl VAT, for 3 years. So you can claim the capital allowance for the first 3 years from purchasing the vehicle. This claim is made under the Motor vehicle Expenses section of your taxTim return, you only input the cost and VAT and it will calculate it automatically, according to your business km travelled in the year.

Get Inland Revenue Tax Dates and Deadlines in your Inbox

We'll tell you when you need to file, along with tax tips and updates.

Let TaxTim
help you
submit your
Tax returns!

TaxTim will help you:
  • Do Your Tax Return Easily
  • Avoid penalties
  • Save money
Tim uses your answers to complete your income tax return instantly and professionally, with everything filled in in the right place.

Get started