Not just any use of a
company automobile constitutes a fringe benefit for the purposes of
the Income Tax Act. Decision No. 3-3-1-93-08 of the Supreme
Court – whose key arguments people ought to be reminded of from
time to time – remains in force. The following are some important
thoughts from this Decision.
The maximum price of a fringe benefit for the use of an automobile of an employer free of charge or at a preferential price for activities not related to employment or service duties or to the employer’s business is 256 euros per month. This means that if no separate recording is kept on the basis of a journey logbook, private use must be subject to taxation to the extent of at least 256 euros.
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