Mileage allowance 0,3352€ as from 1 July 2011
Professional use of your own private car can as from 1 July 2011 be compensated at 0,3352 EUR per kilometer. This is also the amount that civil servants can receive and which is by the tax authorities considered as reimbursement of expenses proper to the employer.
Professional mileage fixed reimbursement
As from 1 July 2011 civil servants can obtain a fee of 0,3352 per kilometer when they make use of their own private car for professional purposes. This is a fixed compensation which is considered as the reimbursement of expenses proper to the employer.
The tax authorities also consider this amount to accept mileage allowance for employees. If you as an employee receive an amount which is higher, it will only be accepted by the tax authorities if you can proof that this amount corresponds with the real costs.
This amount is indexed annually.
Expenses proper to the employer are no taxable income
It concerns a fixed reimbursement of the mileage made with your own private car for professional purposes. This expenditure is actually proper to the employer. You made these costs for the account of your employer and therefore receive a fixed reimbursement or contribution. Please note that it does not concern transport from home to work and vice versa. This transportation is to be considered at your own expense.
Reimbursements are no taxable income. These amounts should not be reported on your personal tax return.
Your employer can deduct these fixed allowances as professional expenditure. He should mention these amounts on the pay slip 281.10 (employees) and 281.20 (directors).
Maximum 24.000 kilometers per year
Next to the above mentioned maximum amount for the fixed allowance per kilometer, a limitation of the number of kilometers your employer can reimburse applies. The tax authorities consider that the maximum number of kilometers that can be reimbursement annually as expenses proper to the employer amounts to 24.000.
Case law exists which not agree with this limitation.