ATO reporting category

Question

Hi,

We are paying our employee a $200 car allowance (they will be using their own car).

Which ATO reporting category would this come under???

Would it be - Allowances - Other?

SJR1 · Answer

thanks Gavin - will reach out to my tax agent.

i have added v1 into the pay item name!

fingers crossed its enough.

gavin12345 · Answer

Hi @SJR1

Yes, generally speaking, though you have provided very little information and as these things depend on the actual details around the payment, it is best you check this with your tax advisor.

A genuine car allowance that is not based on a cents per km rate is generally Allowance - Other. It also needs the code V1 and a description such as 'V1 Private Car Allowance' - however it is unclear how this part is shown in MYOB - perhaps there is somewhere under the Payroll Reporting centre where you can enter more details about Other Allowances.

Regards

Gavin