Can’t you do anything other than use the private car for professional trips? Then you should receive a higher compensation – 0.37 euros per kilometer – according to Minister of Employment Pierre-Yves Dermagne (PS). In exchange, the company receives a discount on the withholding tax.
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Refuel to go to work and go to work to refuel: for those who do not have a company car and fuel card, the exploding prices at the pump are a serious blow through the monthly bill.
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The federal government therefore set aside a pot of 30 million euros in April to support employees who have no choice but to use their private car. For example, consider a home nurse who has to drive from patient to patient. So it’s not about ‘normal’ commuting.
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A fraction of that amount must cover the tank, the other bite must cover the use and insurance of the car.
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Since the social partners failed to reach a compromise, Labor Minister Pierre-Yves Dermagne (PS) is now presenting a proposal, which has yet to receive the green light from the federal government. He wants to encourage companies to increase the minimum kilometer allowance to 0.37 euros per kilometer, the same as officials now receive. This has to be negotiated at sector level.
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If a company grants that amount, they can in return receive a discount of 10 cents per kilometer on their withholding tax. In concrete terms, the employer will then receive a 10 euro discount, while the employee will receive 37 euros per 100 km. A fraction of that amount must cover the tank, the other bite must cover the use and insurance of the car.
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See also: What can the government do about the high fuel prices?
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