10% increase Should we choose actual costs?


2022 KILOMETRIC SCALE: Dilemma between a flat rate cut of 10% or the true costs of declaring mileage costs on your tax return? Our advice.

[Mis à jour le 29 avril 2022 à 08h09] In 2022, the mileage scale has been raised by 10%! A godsend for the “big cylinders” who will be able to make big savings for some of them. Since mileage costs are a part of business expenses, they are fully tax deductible. However, it is necessary to choose whether you prefer to keep the automatic and “historic” standard depreciation of 10% or declare its true value. If you think you spent more than the fixed allowance cap (12828 EURTo cover your professional expenses, do not hesitate, choose the actual expenses system. Especially for senior employees, those employees who double up on trips in their work setting like home helpers or even liberal nurses. In total, more than 2.5 million French tax families are involved. The economy can be around 150 euros per tax return and per person thanks to this technology.

To give you an idea of ​​the potential savings, a concrete and detailed example regarding SUVs is available below in this article. Having averaged €2 per liter of diesel throughout the territory, this maneuver on the part of the government should be graciously welcomed by all those doubling down on trips to do their work. As for the costs covered by the mileage allowance, they are quite diverse. It takes into account vehicle depreciation, cost of purchasing helmets and protection, cost of repair and maintenance, cost of tires, fuel consumption and insurance premiums. Want to know all the details to calculate mileage costs according to your vehicle? Do you want to perform a simulation? All the information is available below in our dedicated article.

Take, for example, the best-selling SUV in France in 2021, and Peugeot 2008. For the Equivalent Financial Strength Model 5 CVThis is how much you will earn in 2022 by reevaluating your mileage: you travel 4000 km a year with this car 5 CV. Calculation of the mileage allowance is as follows: 4000 x 0.575 = $2300. The amount to be deducted from your tax return.

  • Kilometer allowance in 2021: 2,192 euros
  • Kilometer allowance in 2022: 2300 EUR

In other words, reevaluating the kilometer will allow you to save €108 Per advertisement in 2022 according to the criteria described above compared to the previous year. On average, this profit amounts to 150 EUR, and can fly farther if traveling further distances. For all the amounts and details, see the different metrics in our article (below).

The mileage allowance is calculated according to the distance traveled between your home and place of work and also according to the financial strength of your car, data that can be easily found in your car registration document. Can you find the scale applicable to the cars below with two examples?

  • You have a 4CV car with 15,000 km per year as part of your job. In this case, the calculation of the mileage allowance is as follows: 15,000 (distance) x 0.323: 4,845 euros. To this is added a bonus amount of €1,262, for a total of €6,107 that is deducted from your 2021 income on your tax return.
  • You have a car with financial horsepower of 5 CV and 20,000 km per year as part of your job. In this case, you will need to apply the following calculation: 20,000 x 0.405 (the applicable scale) = 8100. The €8,100 mileage allowance will be deducted from your tax return.

The 2022 metric will also serve as A reference to determine the amount of mileage allowances paid by employers to their employees, when the latter uses their personal vehicle on business trips. These allowances are exempt from social contributions and income tax, without specific supporting documents, within the kilometer scale.

This more technical device, which will have an impact on the amount of income tax for recipients of this new aid, will actually only concern taxpayers who make many trips in the course of their work and who take advantage of their tax return to apply for their actual costs. According to the government, 2.5 million tax households do this every year. For what gain? rate 150 EUR on each tax return. With the implementation of this new system, the respective households automatically forgo the flat 10% discount offered by the tax authorities to other tax households. So it is necessary to calculate whether this radical option is really a winner. an account Liberal Nurses where is the home helpis directly affected by this new system.

Travel expenses taken into account in the mileage allowance schedule relate to transportation from home to the workplace, professional travel during business hours, and relocation or double-stay. The scale is calculated according to the power of the car and the number of kilometers traveled. It includes vehicle depreciation, repair and maintenance costs, tire costs, fuel consumption and insurance premiums.

In the face of criticism from the opposition that considers the device too restrictive in the face of the risk of price hikes, Jean Castex asserted that the valuation would have a real impact and could be multiplied. The Prime Minister emphasized that “this reassessment is also intended to serve as a reference and is therefore likely to affect the mileage allowances that employers pay directly to their employees who use their personal vehicles,” thus ruling out any reduction in value-added tax on fuel.

The mileage scale applies to salaried taxpayers who use a car, motorcycle, scooter or moped to get to work, and who decide on the deduction their actual costs on their tax return. Thus, you can deduct these actual costs corresponding to your travels from your tax return. As a reminder, by choosing the actual costs, you are foregoing a flat rate allowance of 10%. The scale allows you to determine how much mileage expense will be reported on your tax return form. It is determined according to the power of the car and also according to the number of kilometers traveled over the past year. The stated costs must be believable by supporting documents (repair bills, purchase of tires, etc.)

This mileage scale is used to assess the cost of using a vehicle for anyone subject to income tax. The costs of insurance, fuel, tires, possible repairs, etc. are taken into account in this metric. On the other hand, toll bills, parking costs, and loan interest associated with the purchase of a vehicle are not taken into account in this metric. Actual costs should be indicated in Box 1 AK of tax return.

Ensure that the total amount of your professional expenses exceeds the fixed 10% discount amount. To do this, carefully keep any invoice or expense report, so you can justify these expenses. It should align with your professional activity, and be essential to it.

The re-evaluated kilometer will be applied under Next Income Advertising Campaign Subject to income tax for 2021 which will start From April 2022. From 2023, the government plans to introduce automatic mileage indexing in order to better take into account the evolution of vehicle ownership cost, particularly fuel cost.

Remember that these metrics are calculated according to the vehicle’s power and mileage. In particular, they take into account vehicle depreciation, repair and maintenance costs, tire costs, fuel consumption and insurance premiums. It is possible to add interest to the loan in case of buying a car on credit, tariff fees and parking fees. These travel expenses relate in particular to transportation from home to the workplace and commuting during business hours.

Since 2021, the amount of travel expenses calculated based on these metrics has been increased by 20% for electric vehicles

Below you will find the mileage scale applicable to cars for the year 2022:

administrative authority up to 5000 km From 5,001 to 20,000 km More than 20,000 km
Up to 3CV d (= distance traveled) x 0.502 (dx 0.3) + 1007 € DX 0.35
4 CV dex 0.575 (dx 0.323) + 1,262 € DX 0.387
5 CV DX 0.603 (dx 0.339) + 1320 € DX 0.405
6 CV Dex 0.631 (dx 0.335) + 1,382 € DX 0.425
from 7CV DX 0.661.00 (DX 0.374) + 1435 EUR DX 0.446
*d = distance traveled

Note: If the taxpayer has an electric car, he will benefit from an increase 20% On travel expenses that he can deduct. the first.

This is the 2022 kilometer scale corresponding to scooters and two in red up to 50cm3:

up to 3000 km From 3,001 to 6,000 km More than 6000 km
Dex 0.299.00 (DX 0.07) +458 € DX 0.162.2
*d = distance traveled
administrative authority up to 3000 km From 3,001 to 6,000 km More than 6000 km
1 or 2 hp D * 0.375 (D * 0.094) + 845 d * 0.234
3,4,5 HP D * 0.444 (D * 0.071) + 1099 D * 0.261
More than 5 hp D * 0.575 (d * 0.068) + 1502 D * 0.325

Note: For cars, taxpayers who drive a scooter or electric motorcycle benefit from an increase 20% Travel expenses to be deducted from their income.

If you want to calculate your mileage costs to see if you qualify for a 10% increase in the meter, take advantage of the simulation prepared on the portal of the impots.gouv.fr website.

It must be remembered that the savings that will benefit potential beneficiaries relate not only to fuel expenditures but All costs incurred by the use of the vehicle for professional purposes :

  • car consumption
  • Costs for purchasing helmets and protective gear
  • Repair and maintenance costs
  • tire expenses
  • oil consumption
  • insurance premiums

The re-evaluated kilometer will be applied under Next Income Advertising Campaign Subject to income tax for 2021 which will start fromApril 2022.

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