Betty Bookkeeper

Betty Bookkeeper answers your question on charging Vat on travel costs

/in /by

Hi Betty

Can Vat be charged to customers if we are billing them for Kilometers?

We are not charging them for fuel, just the km as part of the service.

Regards,
Nadine

Hi Nadine

If you are recovering travel costs incurred as part of services rendered to the client then yes, you will be required to charge VAT on the recovery.

Please refer to the below link.

http://www.thesait.org.za/news/252554/VAT-and-the-recovery-of-costs-.htm

Hope that helps!

Don’t forget that I’m here to answer your questions about the ICBA, or just queries about your accounting at work. All you have to do is email me with a copy of your ICBA membership certificate. Not yet a member? Send in your application form!