Maximise Your 2025 Tax Claim with the New 88cents per Km Rate

? Wondering how the ATO's cents‑per‑kilometre rate affects your 2025 tax return? Here's the scoop: you can claim up to 5,000 business km at a flat rate of 88¢ per km—that covers fuel, depreciation, insurance, maintenance, and more—all without needing receipts. Efficiency and simplicity wrapped into one!

✅ Key takeaways

• ✅ You can claim 88¢ per km for up to 5,000 work‑related km in 2024–25 and continuing into 2025–26 

• ✅ The rate applies to all car expenses—fuel, insurance, maintenance, depreciation—so no extras on top 

• ✅ No need for individual receipts, but you must be able to show how many km were work‑related—e.g., diary, logbook, or app record 

• ✅ If you drive more than 5,000 km, only the first 5,000 qualify—excess must be calculated via the logbook method 

• ✅ Can be used by employees or sole traders; just choose between cents‑per‑km and logbook per your situation 

• ✅ Switching between methods mid‑year? You might need a balancing adjustment 

• ✅ Keep your records for 5 years, even though you don’t need all receipts 

? Curious about the full breakdown: examples, record‑keeping tips, or when the logbook method might benefit you?
? Read the full article on Baron Accounting: How to Claim the 2025 Cents‑per‑Kilometre Rate

? Want to explore more helpful tax resources from Baron Accounting? Visit our homepage for guides, calculators, and support.