Milersättning, or mileage allowance, is a term used in Sweden to refer to the compensation given to employees who use their personal vehicles for work-related purposes. This compensation is intended to cover the costs of fuel, maintenance, and wear and tear on the vehicle. Mileage allowance is an important benefit for employees who are required to travel for work, and it is also a common tax deduction for self-employed individuals.
Mileage allowance is calculated based on the number of kilometers driven for work-related purposes. In Sweden, the standard mileage rate for 2021 is 18.50 SEK per kilometer for the first 10,000 kilometers, and 9.50 SEK per kilometer for any additional kilometers. This means that if an employee drives 15,000 kilometers for work in a year, they would receive compensation for the first 10,000 kilometers at a rate of 18.50 SEK per kilometer, and for the remaining 5,000 kilometers at a rate of 9.50 SEK per kilometer.
Employers are not legally required to provide mileage allowance to their employees, but it is a common practice in many industries. In addition to covering the costs of fuel and maintenance, mileage allowance can also serve as an incentive for employees to use their personal vehicles for work-related purposes.
Self-employed individuals can also claim mileage allowance as a tax deduction. In order to claim this deduction, they must keep accurate records of the number of kilometers driven for work-related purposes, as well as the dates and purposes of each trip. This documentation is important in case of an audit by the Swedish Tax Agency.
It is important to note that there are certain limitations to the amount of mileage allowance that can be claimed as a tax deduction. For example, if a self-employed individual’s total business income is less than 30,000 SEK per year, they are not eligible to claim mileage allowance as a tax deduction.
In conclusion, milersättning or mileage allowance is an important benefit for employees who use their personal vehicles for work-related purposes. It can also serve as a tax deduction for self-employed individuals. It is important to keep accurate records of the number of kilometers driven for work-related purposes and to understand the limitations on the amount that can be claimed as a tax deduction. If you have any questions about milersättning, it is recommended that you consult with a tax professional or HR expert. https://easyklikk.se/milersattning/