Claiming Vehicle and Travel Expenses

If you use your own vehicle for work purposes, such as attending client meetings or transporting equipment, you may be able to claim deductions. However, commuting between home and work is generally not deductible unless you carry bulky tools or equipment that cannot be stored at your workplace.

Methods for Claiming Vehicle Expenses

1. Cents Per Kilometre Method

• Claim up to 5,000 business kilometres at a set rate (72 cents per km for the 2023–2024 financial year).

2. Logbook Method

• Claim a percentage of total vehicle expenses, such as fuel, registration, and maintenance, based on a logbook showing work use over 12 continuous weeks.

3. Travel Expenses

• Costs for work-related travel, such as flights, accommodation, and meals, can also be claimed if they are not reimbursed by your employer.

Travel expenses require detailed records, including travel diaries, to substantiate your claims. The ATO requires documentation for all travel deductions, so accuracy is critical.

FAQs

Can I claim travel between home and work?

No, commuting is generally not deductible unless you are required to transport bulky tools or equipment that cannot be left at your workplace.

What if I use my car for both work and personal purposes?

If using the logbook method, you can only claim the percentage of expenses related to work use. A detailed logbook is required to substantiate your claim.