Vehicle Allowance - Casual Use - Vehicle Salespersons


Award Definition

Vehicle Manufacturing, Repair, Services and Retail Award 2010 [MA000089]

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Applies from: 01/07/2023

Allowance Description
In the cases of casual use by any vehicle salesperson of their own vehicle in the course of their duties and by agreement with their employer,the salesperson will be reimbursed at the rate of not less than $0.95 per kilometre.

What to pay

reimbursement at the rate of at least $0.95 per km

Notes

This allowance is paid for employees using their own car and is based on a cents per kilometre basis.

Should you withhold tax?

Kilometre allowances should not have tax withheld from them unless they are over the ATO threshold. This is currently $0.72 per kilometre. If they are over, the amount up to these thresholds is tax free and the remaining amount is taxable

Should super be paid on this allowance?

This allowance should not form part of ordinary times earnings

Should payroll tax be paid on this allowance?

The exempt portion (up to $0.72 per km) is not included for payroll tax purposes and is exempt. The amount above this is included for payroll tax purposes.

How is it treated on the payment summary?

Show the allowance separately in the allowance box

How should it be reported for Single Touch Payroll?

Car

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