The freelancers They take the bills out of the drawers again to carry out the statement of incomewhich begins on April 6 and runs until June 30, 2022. Given this, many wonder whether they will be able to deduct gasoline expensesespecially those who work with the car, such as carriers or taxi drivers.
When deducting any invoice derived from the purchase of fuel, it is necessary to take into account three basic requirements:
– The cost of fuel must be related to the self-employed activity.
– One has to justify the expense with receipts and invoices.
– You must be registered in the business accounting.
These three cases must be strictly complied with in order to deduct the expense of gasoline or diesel when making the declaration.
How much VAT could they reduce?
There are two ways of reducing VAT: the self-employed who can deduct the 50% of the expense or what may include the total.
In most cases, the self-employed person can only reduce half of the receipt. However, there are exceptions in which the 100% of the invoice. For these cases, the above requirements and additional oneshow to have a vehicle for transporting people or goods; use said vehicle for Passenger transport service; perform tests or promotions; or perform surveillances.
How to demonstrate the use of the car in self-employed activities?
In order to be able to deduct VAT on fuel in the income statement, it is important to be able to demonstrate, with papers and figures, that all requirements are met indispensable.
In this way, it is necessary for the self-employed person to carry out a mileage log of the vehicle, keep the signed budgets by customers, keep the invoices for services performed to clients signed by them, and keep the emails in which the appointment with a client is specified.
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