KILOMETRIC SCALE 2022. Dilemma between fixed 10% subsidy or actual costs to declare your mileage costs on your tax return? Our advice.
[Mis à jour le 29 avril 2022 à 08h09] In 2022, the mileage scale is increased by 10%! A godsend for the “high rollers” that could make big savings for some of them. As mileage costs are part of business expenses, they are fully deductible. However, you must choose whether to keep the default automatic and “historical” 10% rebate or declare them at their actual value. If you think you have spent more than the fixed subsidy ceiling (€ 12,828) for your professional expenses, do not hesitate, opt for the real expenses regime. In particular for the big rolls, these workers who multiply the trips within the framework of their employment as home helpers or even liberal nurses. In total, more than 2.5 million French tax families are involved. The savings could be around 150 euros per tax return and per person thanks to this technique.
To give you an idea of the possible savings, a concrete and detailed example regarding an SUV is available below in this article. With the price of a liter of diesel reaching an average of 2 euros throughout the territory, this maneuver on the part of the government must be welcomed with sympathy by all those who multiply trips to do their work. As for the costs covered by the mileage allowance, they are quite varied. Vehicle depreciation, cost of purchasing helmets and protection, cost of repairs and maintenance, cost of tires, fuel consumption and insurance premiums are all taken into account. Want to know all the details to calculate your mileage costs according to your vehicle? Want to do a simulation? All information is available below in our dedicated article.
Take the example of the best-selling SUV in France in 2021, the Peugeot 2008. For a model whose fiscal power is equal to 5hphere’s the value you’ll gain in 2022 by reassessing the kilometer scale: You travel 4,000 kilometers per year with this vehicle 5hp. The calculation of the mileage allowance is as follows: 4,000 x 0.575 = $2,300. The amount to be deducted from your tax return.
- Km allowance in 2021: € 2,192
- Km allowance in 2022: € 2,300
In other words, revaluation of the mileage scale will allow you to save 108 euros per declaration in 2022 according to the criteria defined above in relation to the previous year. On average, this gain is equivalent to 150 euros, and can even fly away in case of greater distances traveled. To know all the values and details, see the different scales in our article (below).
The mileage allowance is calculated on the basis of the distance traveled between your home and your place of work, as well as the tax power of your vehicle, as it is easily found on your car’s registration document. Can you find the scale applicable to the cars below with two examples?
- You have a vehicle with a fiscal power of 4CV and you drive 15,000 kilometers a 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. Added to this is a bonus value of 1,262 euros, that is, a total of 6,107 euros to be deducted from your 2021 income on your income statement.
- You have a vehicle with a fiscal power of 5CV and you travel 20,000 kilometers a year as part of your job. In this case, it will be necessary to apply the following calculation: 20,000 x 0.405 (applicable scale) = 8,100. 8,100 euros of mileage will be deducted from your tax return.
This 2022 scale will also serve as reference to define the value of fixed mileage deductibles paid by employers to their employees when they use their personal vehicle for business trips. These subsidies are exempt from social contributions and income tax, without specific supporting documents, within the limit of the kilometer scale.
This more technical device, which will have an effect on the amount of income tax of the beneficiaries of this new aid, will, in fact, only affect taxpayers who make many trips within the scope of their employment and who take advantage of their income statement to apply their actual costs. According to the government, 2.5 million tax families do this each year. What do I earn? In average 150 euros on each tax return. With the implementation of this new system, the families in question automatically waive the 10% flat-rate deduction introduced by the tax administration for the remaining tax families. It is therefore necessary to calculate whether this radical choice is indeed a winner. A calculation that liberal nurses where the domestic helpdirectly affected by this new system.
Travel expenses taken into account in the mileage allowance scale refer to transport from home to work, professional travel during working hours, moving or double residence. The scale is calculated according to the vehicle’s power and the number of kilometers traveled. Includes vehicle depreciation, repair and maintenance costs, tire costs, fuel consumption and insurance premiums.
Faced with criticism from part of the opposition that considers the device too restricted in the face of bets on rising prices, Jean Castex assured that this reassessment will have a real effect and could be a snowball. “This reassessment is also intended to serve as a reference and, therefore, potentially affect the mileage allowances paid directly by employers to their workers who use their personal vehicle”, underlined the prime minister, thus ruling out any VAT reduction.
The mileage scale applies to salaried taxpayers who use a car, motorcycle, scooter or moped to get to work and who decide to deduct your real costs on your tax return. Thus, you can deduct the actual costs corresponding to your travels on your tax return. We remind you that, when opting for real costs, you waive the 10% fixed subsidy. The scale allows you to determine the amount of mileage expenses to be reported on the tax return form. It is established according to the power of the vehicle, but also the number of kilometers driven during the past year. The declared costs must be substantiated by supporting documents (repair invoices, purchase of tyres, etc.)
This mileage scale is used to assess the cost of using a vehicle for anyone subject to income tax. This table considers the costs of insurance, fuel, tires, eventual repairs, etc., on the other hand, the costs of tolls, parking costs and loan interest associated with the purchase of the vehicle are not considered in this table. . Actual costs should be indicated in box 1 tax return AK.
Make sure that the total amount of your business expenses exceeds the 10% flat-rate deduction amount. To do this, carefully save any invoice or expense report so that you can justify these expenses. They must be in line with their professional activity and be necessary for that.
The reassessed kilometer scale will be applied within the scope of the next tax return campaign subject to income tax for the year 2021, which will begin April 2022. From 2023, the Government plans to introduce an automatic indexing of the kilometer scale to better take into account the evolution of the cost of ownership of a vehicle, namely the cost of fuel.
Remember that these scales are calculated according to the vehicle’s power and the number of kilometers traveled. In particular, they take into account vehicle depreciation, repair and maintenance costs, tire costs, fuel consumption and insurance premiums. It is possible to add loan interest in the case of purchasing a vehicle on credit, toll fees and parking fees. These travel expenses relate, in particular, to transport from home to work and transport during working hours.
Since 2021, the value of travel expenses calculated based on these stopovers has been increased by 20% for electric vehicles
Below you will find the mileage scale applicable to cars for the year 2022:
|administrative power||up to 5000km||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 euros||dx 0.35|
|4CV||dx 0.575||(dx 0.323) + € 1,262||dx 0.387|
|5hp||dx 0.603||(dx 0.339) + € 1,320||dx 0.405|
|6 hp||dx 0.631||(dx 0.335) + € 1,382||dx 0.425|
|of 7CV||dx 0.661||(dx 0.374) + € 1,435||dx 0.446|
|* d = distance traveled|
Note: if the taxpayer has an electric car, he benefits from an increase in 20% on the travel expenses he can deduct. One first.
Here is the scale of 2022 kilometers corresponding to the scooters and two red ones up to 50cm3:
|up to 3000km||from 3,001 to 6,000 km||more than 6,000 km|
|dx 0.299||(dx 0.07)+458 euros||dx 0.162|
|* d = distance traveled|
|administrative power||up to 3000km||From 3,001 to 6,000 km||More than 6,000 km|
|1 or 2 HP||d*0.375||(d * 0.094) + 845||d*0.234|
|3,4,5HP||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: with regard to cars, taxpayers who drive a scooter or electric motorcycle benefit from an increase in 20% travel expenses to be deducted from your income.
If you want to calculate your mileage costs to find out if you are entitled to a 10% increase in scale, take advantage of the simulator installed on the impots.gouv.fr portal.
Remember that the savings that potential beneficiaries will benefit from are not just fuel expenses, but all costs incurred by using a vehicle for business purposes :
- vehicle depreciation
- Costs of purchasing helmets and protections
- Repair and maintenance costs
- tire expenses
- Fuel consumption
- insurance premiums
The reassessed kilometer scale will be applied within the scope of the next tax return campaign subject to income tax for the year 2021, which will begin fromapril 2022.