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The service vehicle is used by the wife.

October 18, 2013 | 35,00 EUR | answered by Steuerberater Thomas Textoris

Case
The husband: sole proprietor
Purchased an Audi A6 Avant quattro, which was included in the business assets in December 2012, the tax office has already accepted the 1% rule and the corresponding depreciation.
In the business assets there is also a truck, which is used 100% for business purposes. Accepted by the tax office.

The wife: regular employed clerk in a company with 36 hours/week and a gross salary of €12,500, she also works for her husband, handling all accounting including VAT returns and tax declarations, but without any payment from her husband.
Now, since there is no other private vehicle available, she also uses the above-mentioned Audi A6 for her daily commutes to work as an employee and for personal use, as well as for errands, postal trips, etc.

Question:
Does the wife need to indicate in the tax return Annex N that she uses the Audi A6 to commute to work?
And does the private use represent another 1% rule for the wife? Does she need to add another 1% to her salary? Or how should this situation be treated?

Steuerberater Thomas Textoris

Dear questioner,

in the context of an initial consultation and your fee commitment, while considering the regulations of this forum, I would like to answer your question.

The private use of the company car is covered by the application of the 1% rule. This includes all private trips, including trips between home and workplace for your spouse. However, it is crucial to note that the business use must exceed 50%. If the business use is below 50%, you are only eligible for the logbook method. A proof of business use must be provided, which can be done through informal records over a period of 3 months.

An additional 1% taxation for your spouse is not applicable. This would only apply if there were multiple company cars in the business assets.

In your tax return, you only need to specify that you used a private car for the trips between home and workplace.

Best regards,

Thomas Textoris
Tax advisor