Motor Vehicle Expenses

Claimable Motor Vehicle Expenses

There are a couple of different ways whereby you can claim for the use of your Motor Vehicle in your tax preparation.

Set rate per kilometer (SRPK)

• Under the SRPK method, you can claim up to 5,000km at a set rate, currently 72c per km which if you claimed the entire 5,000km would be a tax deduction of $3,600.

• However, in order to be able to claim these kilometres, you will need to justify how you are claiming the number of kilometers. We advise to have a diary record or a logbook of the kilometres you intend to claim.

  Log Book Method

• This method requires you to have completed a 12 consecutive week logbook of all business/work-related travel in your car, this log then determines what percentage of all your vehicle costs you can claim.  So, if your 12-week logbook shows that you have used your vehicle for 80% business use, you will be able to claim 80% of all your fuel, insurance, registration, repairs, depreciation and interest on the finance of your motor vehicle.  You will need to keep receipts for all these expenses.