Claiming Business Motor Vehicle Expenses
There are two methods to claim work of business-related motor vehicle expenses.
There’s no one size fits all answer as to which method best suits your circumstances.
- Logbook method, where you keep a motor vehicle logbook for 12 consecutive weeks so you can establish your work-related percentage and your business travel is more than 5,000 kilometres for the year. Then you can use this percentage to claim a portion of your motor vehicle expenses for the year. You will need to keep detailed receipts to make a claim.
- Alternatively, you can claim up to 5,000 business/ work related kilometres on a cents per kilometre basis.
You still need to provide a reasonable basis on which you have come to your estimated kilometres claimed.
If you would like advise or help from a friendly professional accountant with:-
- Advise on setting up your Business Accounts and claiming for Business Motor Vehicle Expenses.
- Completing your tax return and claiming your deductions.
- Quarterly Business Activity Statement lodgement.
- Choosing the correct PAYG Instalment method on your BAS.
- Income and Tax estimates in May or June, so you can make decisions prior to 30 June to minimize your tax liability and understand what is payable and when.
- Business Planning
Phone Steve for a friendly no obligation chat about your requirements.
- Approachable and available.
- The only dumb question is the one you don’t ask.