Leave the car in the garage/car park

IRAS clearly states that ALL expenses for S-plated vehicles are NOT tax-deductible. That means no deduction for petrol, repairs, parking etc.

You MAY claim petrol expenses from your company, it is allowed, it is however NOT allowed for income tax deduction.

For example,

Net loss (S$6,000) (Out of which $8,000 is for your car)

Add back:
Upkeep of motor vehicles S$8,000

Adjusted profit S$2,000

Tax approximately S$200

Therefore, it is tax wise better to take a taxi, as you are able to claim every single cent.

Again, this has to depend on your overall expenditure on your vehicle (hire purchase instalments, petrol, repairs, parking, depreciation....)

See Part two to deal with employee claims.