Do you use your car for work in Australia? Don’t miss out on valuable tax deductions this season. Whether you're an employee or a small business owner, understanding your options can mean more cash back in your pocket.
✅ Two ways to claim — Choose between the cents-per-kilometre method (88¢/km, up to 5,000 km) or the logbook method with no cap.
✅ Documentation is key — Keep odometer readings, logbooks, receipts, and trip records.
✅ Commuting doesn’t count — Only work-related travel (not home to office) is deductible.
✅ Compare for maximum benefit — The logbook method may yield higher claims for frequent drivers.
✅ More than just fuel — Car washes, insurance, servicing, and depreciation can be claimed under the logbook method.
✅ Ownership matters — Lease or own? Each has different tax implications.
✅ Stay current — The ATO rate for 2024–25 is now 88¢/km — an important update!
? Want the full breakdown? Check out Baron Accounting’s guide to claiming car expenses on your tax return to make sure you're not leaving money on the table.
?Looking for more expert tax tips? Visit our homepage for resources tailored to small business owners and individuals.
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