Employers can reimburse employees for using personal vehicles for business travel, commuting, or company-owned cars.
While Saudi Arabia does not enforce a statutory mileage rate, companies should ensure that reimbursement policies are reasonable and well-documented.
Reimbursement methods include:
- A fixed rate per kilometre;
- Actual fuel and maintenance cost reimbursements.
For tax-related considerations, visit the Zakat, Tax and Customs Authority (ZATCA).