Pain at the Pump: Are You Missing Out on Travel Tax Relief?

Every increase in the fuel price makes the same salary stretch a little less. Whether you are visiting clients, travelling between branches or simply getting to the office, filling your tank is taking a bigger bite out of your budget.

But could some of that driving qualify for tax relief?

The answer depends on why you travel, how your employer compensates you and whether you have the records to support a claim.

Driving to work is different from driving for work

For tax purposes, your ordinary commute between home and your usual workplace is private travel.

Unfortunately, a long journey or an expensive tank of petrol does not make that cost deductible.

Travelling to client meetings or between workplaces while performing your duties may qualify as

business travel. This distinction is the starting point for assessing your claim.

Your travel allowance deserves a closer look

If you receive a travel allowance and use your own vehicle for business travel, you may qualify for a deduction when submitting your income tax return.

However, an allowance is not automatically tax-free. Your claim depends on qualifying business kilometres and the applicable calculation. SARS permits a prescribed cost-table method or an actual-cost method, subject to their requirements. Reviewing both can help establish the appropriate claim for your circumstances.

A deduction does not mean SARS repays your fuel bill rand for rand. It reduces taxable income.

Could reimbursement help with monthly costs?

If you regularly use your own car for your employer’s business, ask whether a reimbursement arrangement is available.

For the 2027 tax year, running from 2026/03/01 to 2027/02/28, the prescribed rate is R4.95 per business kilometre. Reimbursement at or below this rate can be non-taxable where the requirements are met, including that no other vehicle allowance or reimbursement is received, apart from qualifying parking or toll payments.

For example, 500 qualifying business kilometres reimbursed at R4.95 would amount to R2,475. This is a payment by your employer—not a refund from SARS or an automatic entitlement. If you also receive a fixed travel allowance, the combined tax treatment needs to be reviewed.

Your most valuable passenger could be a logbook

SARS requires a logbook to support a business-travel deduction against a travel allowance. Record your vehicle’s opening and closing odometer readings for the tax year and, for each business trip, capture the date, kilometres travelled, starting address, destination address and business purpose. Fuel slips alone do not establish that a journey was undertaken for business purposes.

For guidance, download the SARS Travel eLogbook for 2026/2027, covering the period 2026/03/01 to 2027/02/28.

Start keeping accurate records now. Simply renaming part of your salary a “travel allowance” does not turn private driving into a tax deduction.

At SVH Tax Consulting, we help individuals review their travel allowances, reimbursements, logbooks and tax returns to identify qualifying deductions and avoid costly mistakes.

You cannot control the fuel price. You can make sure you are receiving the tax relief you qualify for.