Steer. Mileage costs, instructions for your declaration

The sharp increase in fuel prices at the pump has prompted the government to increase the mileage tax rate by 10% for thermal vehicles and 20% for electric vehicles compared to 2020. This increase applies to journeys in 2021 that are to be declared this year and could be renewed for those that will be made in 2022. An additional argument to be interested in deducting these expenses to reduce the amount of tax to be paid.

The deduction methods and the taxpayers involved

Employees and freelancers are the main groups entitled to the travel allowance.

Above all, employees and freelancers who use their private vehicle as part of their professional activity are entitled to a travel allowance. There are two ways to deduct travel expenses :

  • based on the kilometer scale, the most common solution (see tables at the end of the article),
  • by summing up the expenses actually incurred.

This actual amount can be calculated using a flat fuel load plan. The method of actually deducting travel expenses can be used in particular by employees who do not own the vehicle used (service or company vehicle) for mixed use, i.e. private and professional use. The only limitation is that the actual mileage cost is capped at the amount that the taxpayer could have deducted applying the mileage scale for a taxable 7 hp vehicle.

DIn each case, to determine whether the deduction of all actual expenses, in particular travel expenses (calculated on an actual basis or calculated by mileage), meals eaten out or clothing expenses, is reasonable, it is necessary to make a calculation. If the sum of these costs exceeds the standard allowance of 10% of taxable net income (maximum €12,829), it is reasonable to opt for their deduction.

The conditions for claiming the mileage discount

Declaration of car mileage
The use of the kilometer scale requires the fulfillment of certain requirements.

In order to be able to use the kilometer scale, certain requirements must be met.

You must first be the owner of the vehicle, or at least co-ownership in the case of cohabitation or PACS. The vehicle in question may also belong to a member of the user’s tax household. If you drive a vehicle on lease with an option to buy (LOA), you can also deduct the kilometer costs from your taxable net income.

The use of his private car by a taxpayer for his daily journeys must then be justified in principle. This is the case if the use of collective transport would have led to a significant increase in the journey time. The administration is therefore likely to ask taxpayers to justify their choice in relation to the other modes of transport available to them.

The routes taken into account

car traffic jam
Four types of journeys can be included in the statement of deductible expenses.

Four types of journeys can be taken into account when declaring the deductible expenses.

  • That home-work trips are deductible within the limit of 40 km per trip, i.e. 80 km per day, the administration except in exceptional cases (e.g. if the place of residence is more than 40 km from the place of work, it is necessary to justify a valid reason to account for this distance in its entirety.These reasons include difficulty in finding a job close to home, changing jobs, where a spouse works, and problems with children’s education.
  • That Travel during working hours with a car can also lead to a deduction. In this case, the employer’s reimbursement of expenses must be added to the declared salary.
  • That moving expenses are also deductible expenses. These are the costs of transporting people and the costs of moving themselves, incurred by employees who are forced to change their place of residence because of the requirements of a new job or a new spatial assignment in the context of the activity performed.
  • That Dual Residence Fees can also lead to the deduction of travel expenses if the taxpayer uses his private vehicle. Double residence costs are additional expenses, in particular accommodation and travel costs, which are actually borne by an employee who is forced to stay at a different place than his usual place of residence for professional reasons. It should be noted that dual residence must be justified by the impossibility of maintaining a single residence, taking into account the place of work of each spouse, partner in a civil cohabitation or in the case of a stable and permanent cohabitation.

In any case, in addition to the mileage costs to be deducted, there may be other costs: parking costs, tolls and even the annual interest on the purchase of the vehicle on credit, withheld in proportion to its professional use.

Reporting procedures and supporting documents

To elect to settle actual expenses, simply enter the total amount of those expenses directly on the tax return in box 1AK (1BK for the 2nd declarant, 1CK for the first dependant, and 1DK for the second dependant).

Computer billing actual costs
For the actual cost regulation, it is necessary to collect and keep certain documents.

However, it is necessary to collect and retain certain supporting documents. Therefore, it is necessary to plan the preparation of a summary of the transportation costs incurred, on plain paper, stating the type of vehicle used and the number of days or shifts that travel was required. These trips must be justified if they require a special situation, e.g. B. a distance of more than 40 km to the residence or a double residence.

The taxpayer must be able to prove that he actually used his vehicle. Therefore, the purchase invoice, the registration certificate, the maintenance and repair invoices, the copy of the insurance contract and all travel documents (parking and toll tickets, hotel bills, etc.) ) may also be required by the tax authorities.

These documents are to be retained for three years. from the year following the tax in order to be able to face any tax audit.

Mileage scale valid for thermal cars (February 2022)

The mileage allowance that is deductible from income depends on two factors: the distance traveled and the engine power of the vehicle.

administrative power distance to

5,000km
Distance from 5,001 to 20,000 km greater distance

at 20,000 km
3 CV and less x 0.502 ( ×0.3)

+ 1,007
×0.35
4 hp ×0.575 ( x 0.323)

+ 1,262
x 0.387
5 hp x 0.603 ( x 0.339)

+ 1,320
x 0.405
6 hp ×0.631 ( x 0.355)

+ 1,382
x 0.425
7 CV and more x 0.661 ( x 0.374)

+ 1,435
x 0.446

d = distance traveled in kilometers

Mileage scale for electric cars (February 2022)

Since February 2021, a different scale has applied to owners of 100% electric vehicles. The surcharges are 20% higher than those of the thermal models. A government push to get the French to switch that remains relevant even if the rise in fuel prices spares this type of motorization for the time being.

administrative power

(in the CV)
distance to

5,000km
Distance from 5,001 to 20,000 km

greater distance

to
20,000km

3 CV and less x 0.602 ( x 0.360) + 1208 x 0.420
4 hp x 0.690 ( x 0.388) + 1514 x 0.464
5 hp x 0.724 ( x 0.407) + 1584 x 0.486
6 hp x 0.757 ( x 0.426) + 1658 ×0.510
7 CV and more x 0.793 ( x 0.449) + 1722 ×0.535

d = distance traveled

Kilometer scale valid for motorcycles (February 2022)

administrative power Range up to 3,000 km distance

from 3,001

at 6,000 km
greater distance

at 6,000 km
1 or 2 hp ×0.375 ( x 0.094) + 845 ×0.234
3, 4, 5 hp x 0.444 ( x 0.078) + 1099 ×0.261
More than 5 hp ×0.575 ( x 0.075) + 1502 x 0.325

d = distance traveled

Mileage scale valid for scooters (February 2022)

distance to

3000km
distance of 3,001 km

at 6,000 km
greater distance

at 6,000 km
×0.272 ( x 0.07) + 458 ×0.162

d = distance traveled

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