Deduction For Transportation Cost Of Employees Rules

At the end of February, the Deduction for Transportation Cost of Employees Rules were published through LN67 of 2018. These rules shall apply with respect to transportation costs incurred for the transport of employees as from the year of assessment 2018. These rules shall remain in effect up to the year of assessment 2020.

An undertaking may claim a deduction against its income equivalent to 150% of the employee transportation costs incurred in the relative year. Employee transportation costs are defined by the Rules as "costs incurred by an undertaking for transportation of employees to and from the place of work using means of transport capable of carrying more than eight (8) persons, whether organised by the undertaking or any other entity."