You can claim motor vehicle expenses for work-related driving using one of two ATO methods: the cents per kilometre method (88 cents per kilometre for 2025-26, capped at 5,000 business kilometres) or the logbook method (your actual running costs multiplied by your business-use percentage). Ordinary home to work travel is not deductible.

If you use your car for work, you could be leaving hundreds — or even thousands — of dollars on the table at tax time. Motor vehicle expenses are one of the most commonly claimed tax deductions in Australia, but they’re also one of the most frequently audited. Get it right and you maximise your refund. Get it wrong and the ATO will be in touch.

This guide covers everything you need to know: who can claim, which method gives you the biggest deduction, what records the ATO actually requires, how company-owned cars and novated leases work, and the most common mistakes that trigger an audit. Whether you’re an employee, sole trader, company director, or business owner — this is your definitive 2026 reference.

Can You Claim Motor Vehicle Expenses on Tax?

Yes — but only for work-related travel. The ATO draws a hard line between private use and work use, and you can only claim the portion of your vehicle expenses that relates to earning your income.

Employees

If you’re an employee, you can claim car expenses when you use your own vehicle (not a company car) for work purposes. This includes:

• Driving between two separate workplaces on the same day
• Travelling from your workplace to a client’s premises, a job site, or another work location
• Carrying bulky tools or equipment that cannot be stored at work
• Attending work-related conferences, meetings, or training away from your usual workplace

What you cannot claim as an employee: The daily commute from home to your regular workplace is not deductible — even if you live far from work, work unusual hours, or there is no public transport available. This is one of the most common mistakes the ATO sees.

Business Owners, Sole Traders and Company Directors

If you run your own business, the rules are more generous. Travel from home to your business premises can be deductible when your home is genuinely your principal place of business. Visits to clients, suppliers, the bank, and other business-related trips are all claimable. The key test is: was the trip made in the course of carrying on your business?

Business owners can also claim through their business entity — either by paying a cents-per-km rate to themselves, or by claiming actual vehicle expenses if the vehicle is owned by the business.

The Two Methods: Cents Per Kilometre vs Logbook

The ATO allows two methods for claiming car expenses on your tax return. You choose one method per car, per income year. You cannot mix methods for the same vehicle in the same year.

For the current figure, see our dedicated guide to the ATO cents per km rate for 2026-27 and how much you can claim.

Feature	Cents Per Kilometre	Logbook
Records required	Diary or notes only	12-week logbook + all receipts
Maximum claim	5,000 km per car per year	No limit
Rate (2025–26)	88 cents per km	Actual cost x business use %
What’s covered	All costs (fuel, rego, insurance, depreciation)	All actual costs in proportion
Best for	Low business use or simple situations	High business use or expensive cars

Cents Per Kilometre Method: Everything You Need to Know

The cents per kilometre method is the simpler of the two options. You multiply the number of work-related kilometres you drove by the ATO’s fixed rate — and that’s your deduction. No receipts required.

The 2025–26 Rate: 88 Cents Per Kilometre

For the 2025–26 financial year, the ATO rate is 88 cents per kilometre. This rate covers all car running costs — fuel, oil, servicing, registration, insurance, and decline in value (depreciation). You do not claim these on top; the 88c/km rate replaces them all.

Financial Year	Rate (cents/km)
2026–27	91 cents
2025–26	88 cents
2024–25	88 cents
2023–24	85 cents
2022–23	78 cents
2021–22	72 cents

How Many Kilometres Can I Claim?

Under the cents per kilometre method, you can claim a maximum of 5,000 kilometres per car, per year. If you drive more than 5,000 work-related kilometres, you should consider switching to the logbook method, which has no upper limit.

The 5,000 km cap applies per vehicle — so if you use two cars for work, you can potentially claim up to 5,000 km on each.

Do I Need Receipts?

No. One of the big advantages of the cents per km method is that you do not need to keep fuel receipts, service records, or registration certificates. However, you do need to be able to show how you calculated your kilometres. The ATO expects you to have a reasonable basis for your claim — a diary of work trips, calendar entries, or a written record of regular routes is sufficient.

Worked Example: Cents Per Kilometre

Sarah is a nurse who drives from her hospital to a second clinic twice a week, plus she attends occasional training sessions. Over the year, she calculates she drove 3,200 work-related kilometres.

Her deduction: 3,200 km x $0.88 = $2,816

Sarah does not need any receipts. She keeps a note in her diary of the routes and why they were work-related. That’s enough for the ATO.

Logbook Method: How It Works

The logbook method lets you claim the actual costs of running your vehicle — but only the portion that relates to work. It requires more record-keeping upfront, but it can produce a significantly larger deduction if your business use percentage is high.

Step 1: Keep a Logbook for 12 Consecutive Weeks

You must keep a logbook for at least 12 consecutive weeks. The ATO’s minimum requirement is that for each trip, you record:

• The date of the trip
• The start and end odometer readings
• The number of kilometres travelled
• The reason for the trip (work purpose)

Private trips do not need to be recorded in detail — just mark them as private. Once you have kept a valid logbook, it is valid for five years — provided your work travel pattern does not change significantly. If you change jobs, move house, or your business circumstances change materially, start a new logbook.

Step 2: Calculate Your Business Use Percentage

At the end of the 12-week period, calculate what percentage of your total kilometres were for work:

Business use % = (Work kilometres ÷ Total kilometres) x 100

This percentage is then applied to all your actual car expenses for the full year to arrive at your deduction.

Step 3: Keep All Your Receipts and Records

Under the logbook method, you need to keep receipts and records for all vehicle expenses throughout the year:

• Fuel and oil receipts (or a fuel card statement)
• Registration and CTP insurance certificate
• Comprehensive insurance policy
• Service and repair invoices
• Loan statements (if the car is financed — interest is claimable)
• Purchase price and date (for depreciation calculation)

Worked Example: Logbook Method

Michael is a self-employed electrician. His logbook shows he drove 18,000 km for the year total, of which 13,500 km were work-related. His business use percentage is 75%.

His actual car costs for the year:

• Fuel: $4,200
• Registration: $900
• Insurance: $1,800
• Servicing and tyres: $1,500
• Loan interest: $3,600
• Depreciation: $5,000

Total actual costs: $17,000

Michael’s deduction: $17,000 x 75% = $12,750

Compare that to the cents per km method: even at the 5,000 km cap, he would only get 5,000 x $0.88 = $4,400. The logbook method gives Michael an $8,350 larger deduction.

Which Method Gives You a Bigger Deduction?

The honest answer: it depends on how many kilometres you drive for work and what your actual car costs are. Here’s a side-by-side comparison for the same vehicle:

	Cents Per Km	Logbook (70% business use)
Work km per year	4,000 km	4,000 km (of 5,700 total)
Total actual costs	N/A	$14,000
Deduction	4,000 x $0.88 = $3,520	$14,000 x 70% = $9,800

In this scenario, the logbook method produces a deduction nearly three times larger — even at the same number of kilometres. This is because the logbook captures depreciation, loan interest, and comprehensive insurance that the cents per km rate does not separately account for.

Rule of thumb:

• Fewer than 5,000 work km per year and a modest car: the cents per km method is usually simpler and still reasonable
• More than 5,000 km, an expensive car, or high business use: the logbook method will almost always deliver a bigger deduction

Not sure which method works best for your situation? Book a no-obligation call with Mina and we’ll run the numbers for you.

What Car Expenses Can You Claim?

What you can claim depends entirely on which method you use.

Under the Cents Per Kilometre Method

The 88c/km rate is an all-inclusive rate. It is designed to cover: fuel and oil, registration, insurance, servicing and repairs, and decline in value (depreciation). You cannot claim any of these separately on top of the cents per km rate.

Under the Logbook Method

You claim the actual cost of running the vehicle, multiplied by your business use percentage. Claimable expenses include:

• Fuel and oil — every fill-up, pro-rated by business use %
• Registration — the full annual rego fee, pro-rated
• Insurance — CTP and comprehensive, pro-rated
• Servicing and repairs — tyres, brakes, routine services
• Loan interest — the interest component of car loan repayments (not the principal)
• Decline in value (depreciation) — based on the car’s cost and effective life
• Lease payments — subject to the car depreciation limit

Note: The ATO imposes a car cost limit on expensive vehicles. For 2025–26, this limit is $69,674. If your car cost more than this, depreciation and lease payments are capped at that amount regardless of the actual purchase price.

Can You Claim Car Registration on Tax?

Yes — but only under the logbook method.

Under the logbook method, your annual registration fee is one of the actual expenses you claim, proportioned by your business use percentage. For example: rego costs $900, business use is 70%, you claim $630.

Under the cents per kilometre method, registration is not claimed separately. It is considered to be already incorporated into the 88 cents per kilometre rate. The same logic applies to CTP insurance: claimable under the logbook method, built into the rate under the cents per km method.

Can You Claim Petrol on Tax?

Yes — petrol is a claimable car expense under both methods, but it works differently in each.

Cents per km method: You do not claim petrol receipts separately. The 88c/km rate already factors in an allowance for fuel. Simply multiply your work kilometres by 88 cents — petrol is included.

Logbook method: You claim your actual petrol costs, multiplied by your business use percentage. Keep all your fuel receipts or use a fuel card that provides monthly statements. If your car uses $4,000 in fuel per year and your business use is 80%, you can claim $3,200 for petrol alone — before adding registration, insurance, and servicing.

Electric vehicle charging costs are treated similarly to fuel and are claimable under both methods on the same basis.

How Many Kilometres Can You Claim on Tax?

This is one of the most searched questions at tax time — and the answer depends on which method you use.

Cents per kilometre method: Maximum 5,000 kilometres per car, per year. If you drive more than this for work, you can only claim 5,000 km under this method. The ATO will not allow a cents per km claim above this limit.

Logbook method: No kilometre limit. If your logbook shows 30,000 work-related kilometres in a year and your business use is 85%, you claim 85% of all actual running costs — there is no cap.

Can I claim 5,000 km without a logbook? Yes — the cents per km method does not require a logbook. You just need a reasonable record of your work trips. But the 5,000 km ceiling applies.

How many cents per kilometre can I claim in 2025–26? For 2025–26: 88 cents per kilometre. For 2026–27: 91 cents per kilometre (the ATO increased the rate from 1 July 2026). Always use the rate that applies to the income year you are lodging for.

Instant Asset Write-Off for Vehicles

For business owners — not employees — there is a third option that can dwarf both standard methods: the instant asset write-off (also called temporary full expensing or simplified depreciation, depending on when you purchased the vehicle).

Under instant asset write-off rules, eligible small businesses can immediately deduct the business-use portion of a vehicle’s cost in the year it was first used or installed ready for use — rather than depreciating it over several years.

How It Works

• Your business must have an aggregate annual turnover below the relevant threshold (currently $10 million for the small business pool)
• The car must be used for business purposes — you can only claim the business-use percentage of the cost
• The car cost limit still applies: for 2025–26, the maximum depreciable cost for a passenger car is $69,674. This cap does not apply to commercial vehicles such as utes, vans, and trucks used primarily for business — those can be written off at full cost (business portion)
• You still need a logbook (or reasonable records) to establish the business-use percentage

Worked Example: Instant Asset Write-Off

Tom is a plumber who operates as a sole trader. He purchases a new work ute for $55,000 (including GST, so $50,000 after GST). His logbook confirms 90% business use.

Tom’s instant asset write-off deduction: $50,000 x 90% = $45,000 — in year one.

Under the logbook method with regular depreciation, Tom might only claim $10,000–$12,000 in year one. The instant asset write-off gives him more than four times the deduction in the first year, dramatically reducing his taxable income.

The rules around instant asset write-off change frequently. Speak with your accountant before purchasing a vehicle to confirm the rules that apply in your current financial year. See our tax planning services for strategic advice on the best timing for asset purchases.

Novated Leases and Tax Deductions

A novated lease is a three-way arrangement between you (the employee), your employer, and a finance company. Your employer makes lease payments on your behalf from your pre-tax salary — which reduces your taxable income. The vehicle is in your name, but your employer is the lessee for the purposes of the lease.

How Novated Leases Work for Tax

With a novated lease:

• Lease payments are deducted from your pre-tax salary, reducing your assessable income
• Running costs (fuel, rego, insurance, servicing) can also be included in the lease and paid from pre-tax salary under a fully maintained novated lease
• Because the car is available for private use, the employer is technically providing a fringe benefit — which means Fringe Benefits Tax (FBT) applies
• Most novated leases are structured to manage or offset the FBT liability, often through employee contributions from after-tax dollars

Electric Vehicles and the FBT Exemption

From 1 July 2022, eligible electric vehicles (EVs) and plug-in hybrid electric vehicles (PHEVs, until 1 April 2025) provided through novated leases or as company cars are exempt from FBT — provided:

• The vehicle’s value (GST-inclusive) is below the luxury car tax threshold ($91,387 for fuel-efficient vehicles in 2025–26)
• The vehicle is a zero or low-emission vehicle as defined by the ATO
• The car was first held and used on or after 1 July 2022

This exemption makes EV novated leases extremely attractive for employees — effectively providing a government subsidy through the tax system. However, the rules are complex, thresholds change annually, and PHEVs have now lost their exemption. Get proper advice before structuring any EV arrangement.

Can You Claim Car Expenses With a Novated Lease?

No — not separately. With a novated lease, your employer is making the payments and claiming the deductions. You receive the benefit through reduced pre-tax salary. You cannot then also claim car expenses in your personal tax return for the same vehicle. Doubling up is not allowed and would be caught by the ATO.

Company-Owned Vehicles and Fringe Benefits Tax (FBT)

When a business entity — a company or trust — owns a vehicle and makes it available for an employee’s private use (including directors), Fringe Benefits Tax applies. FBT is paid by the employer, not the employee, and is calculated at a rate of 47% on the taxable value of the benefit.

Two Methods for Calculating FBT on Cars

There are two methods for working out the FBT liability on a company car:

1. Statutory Formula Method

The taxable value is 20% of the car’s base value (purchase price), multiplied by the number of days the car was available for private use, divided by 365. This is the simpler method and doesn’t require a logbook — but it assumes 20% of the car’s value is a taxable benefit regardless of actual private use.

2. Operating Cost Method

The taxable value is calculated as total operating costs multiplied by the private-use percentage. This requires a logbook (at least 12 weeks) but can result in a lower FBT liability when business use is high. If business use is above 80%, the operating cost method will almost always produce a lower taxable value.

Reducing FBT Liability

FBT can be reduced or eliminated by:

• Employee contributions: If the employee (or director) contributes to the running costs from after-tax dollars, this reduces the taxable value dollar-for-dollar
• Keeping a logbook: A logbook showing high business use reduces the operating cost taxable value significantly
• Restricting private use: The ATO has specific rules about what counts as “garaged at home” vs. genuinely restricted private use. Vehicles garaged at the employee’s home are generally deemed available for private use
• Exempt vehicles: Certain vehicles are exempt from FBT when private use is limited — including panel vans, utes, and commercial vehicles where private use is only incidental

FBT is one of the more complex areas of vehicle taxation. If your business owns vehicles used by employees or directors, speak with a tax adviser about the best structure. See our Virtual CFO services for ongoing tax-effective business structuring.

Motor Vehicle Expenses for Sole Traders vs Companies

Sole Traders

Sole traders claim car expenses in their business schedule at Item P8 of their individual tax return. They can use either the cents per km method or the logbook method. If you have a vehicle registered to your business and used primarily for business, you may also be eligible to write off the full vehicle cost under instant asset write-off rules — potentially a far larger deduction than either standard method.

Sole traders do not pay FBT on vehicles they use themselves — FBT only applies when an employer provides a car to an employee (a separate person). If you are a sole trader and your spouse uses the vehicle, seek specific advice.

Companies and Trusts

If the vehicle is owned by the company or trust, the entity claims vehicle expenses directly as a business deduction — not the individual. The entity can claim fuel, rego, insurance, servicing, loan interest, and depreciation, multiplied by the business use percentage.

If the vehicle is also available for private use by a director or employee, FBT applies (as outlined above). The entity may also be entitled to claim an input tax credit for the GST on the purchase — subject to the car cost limit and business use percentage.

Employees

Employees claim car expenses at Item D1 — Work-related car expenses in their individual tax return. The deduction reduces taxable income directly.

If your employer pays a car allowance, you must include that allowance as income — but you can still claim actual car expenses (using either method) as a deduction. If your actual expenses exceed the allowance, you get a net deduction. If the allowance exceeds actual expenses, you pay tax on the difference.

If your employer provides a fully maintained company car for private use, Fringe Benefits Tax applies — and you cannot separately claim deductions for that vehicle in your personal return.

Home to Work Travel: Why You Cannot Claim It

This is worth its own section because it’s the single most common error in motor vehicle claims. Travel between your home and your regular workplace is private travel and is not tax deductible.

The ATO does not accept arguments based on:

• The distance being long
• Having no public transport options
• Working irregular or unsocial hours
• Carrying work equipment in the car
• Being on call

The limited exceptions where home-to-work travel may be claimable:

• Your home is your principal place of business (e.g., you run a business from a dedicated home office and travel to client sites or a second work location)
• You are required to transport bulky equipment that cannot be stored at your workplace and there is no alternative — but carrying a laptop does not count
• You travel from home directly to a different workplace that is not your regular workplace on that day

If you’re a tradesperson who picks up materials from home before driving to a site, the ATO has specific rulings on this. Get advice specific to your circumstances before claiming.

What Records Do You Need?

Record-keeping is where most people get unstuck in an ATO audit. Here is exactly what is required under each method:

Cents Per Kilometre Method

• A record of your work-related trips — a diary, calendar, spreadsheet, or logbook app
• Each entry should show the date, start and end location, work purpose, and distance
• No fuel receipts or other expense records are required
• Odometer readings, Google Maps route distances, or a standard route calculation all work as supporting evidence

Logbook Method

• A completed 12-week logbook with all entries (date, start/end odometer, km, work purpose)
• Odometer readings at the start and end of the income year
• All receipts for expenses claimed: fuel, rego, insurance, servicing, loan statements
• Vehicle purchase documents if claiming depreciation

Keep all records for five years after lodging your return. The ATO can audit prior years and will request evidence.

Vehicles That Qualify — and Ones That Don’t

The two ATO methods (cents per km and logbook) apply specifically to “cars” as defined by the ATO: motor vehicles designed primarily to carry passengers, with a load capacity under one tonne and fewer than 9 passengers. This includes most sedans, wagons, SUVs, hatchbacks, and some utes.

Motorcycles, heavy commercial vehicles, and vehicles not meeting this definition are handled differently — typically through the logbook method applied to “other vehicles,” or as direct business expenses if the vehicle is wholly used for business.

If your vehicle is a dual-cab ute or van with a load capacity of one tonne or more, it falls outside the standard car rules. You claim actual business-use expenses without the car cost limit cap — but you still need records to establish the business portion.

Common Mistakes When Claiming Motor Vehicle Expenses

Motor vehicle deductions are one of the ATO’s top audit targets. Here are the mistakes that get people caught:

1. Claiming the Daily Commute

Driving from home to your regular workplace is private travel. The ATO does not accept arguments about distance, inconvenience, or lack of public transport. The only exceptions are when home is a genuine place of business, or when you travel from your regular workplace to another location in the same day.

2. Automatically Claiming 5,000 km Every Year

Claiming exactly 5,000 km every year — especially when your work pattern does not justify it — is a red flag. The ATO cross-references claims against occupation data. Unusually high claims for low-travel roles attract scrutiny.

3. Claiming 100% Business Use

Unless you genuinely use your vehicle exclusively for work, claiming 100% business use is almost always flagged. The ATO expects some private use for most vehicles. Claims above 95% business use for a standard passenger car will likely result in a review.

4. No Records to Support the Claim

The ATO can and does ask for evidence. If you cannot produce a diary, calendar entries, or logbook, your claim will be disallowed — along with potential penalties and interest.

5. Claiming Reimbursed Expenses

If your employer reimburses you for car expenses dollar for dollar, you cannot also claim those same expenses as a deduction. You can only claim the out-of-pocket portion you actually bore yourself.

6. Using the Wrong Vehicle Type Rules

Applying the standard car methods to a motorcycle or heavy commercial vehicle, or forgetting that the car cost limit caps depreciation on passenger vehicles, can mean either under-claiming or over-claiming — both of which create problems.

7. Forgetting the Logbook Has Expired

A logbook is valid for five years. If yours was completed in 2019 and your travel patterns have changed, it may no longer accurately reflect your business use. Using an outdated logbook is grounds for the ATO to disallow or reduce your claim.

ATO’s Key Resources on Motor Vehicle Expenses

The ATO publishes comprehensive guidance on vehicle tax deductions. The main reference pages are:

• ATO: Motor vehicle and car expenses (individuals)
• ATO: Deductions for motor vehicle expenses (business)

Always check the ATO’s website for the most current rates and thresholds, as these are updated each financial year.

FAQ: Motor Vehicle Tax Deductions in Australia

How many km can I claim on tax without a logbook?

Up to 5,000 kilometres per year using the cents per kilometre method. No logbook is required — just a record of your work trips. At 88 cents per km, the maximum claim is $4,400 per vehicle per year for 2025–26.

How many cents per kilometre can I claim in 2025–26?

88 cents per kilometre for the 2025–26 financial year. The rate increases to 91 cents per kilometre for 2026–27. Always use the rate for the income year you are lodging — if you are lodging your 2024–25 return now, the rate is also 88 cents.

Can I claim my car registration on tax?

Yes, under the logbook method. Registration is one of the actual expenses you claim, multiplied by your business use percentage. Under the cents per km method, registration is factored into the 88c/km rate and cannot be claimed separately.

Can I claim petrol on tax?

Yes. Under the logbook method, claim actual fuel costs multiplied by business use %. Under the cents per km method, petrol is included in the 88c/km rate — no separate receipts needed.

Can I claim mileage for travelling to and from work?

No. Travel between home and your regular workplace is private and is not deductible. If home is your principal place of business, travel to client sites may qualify — speak with your accountant about your specific circumstances.

Can I claim car expenses if my employer pays a car allowance?

Yes. The allowance is included in your taxable income, and you claim actual car expenses as a deduction using either method. If actual expenses exceed the allowance, you get a net deduction. If the allowance exceeds actual expenses, you pay tax on the surplus.

How long does a logbook last?

A logbook is valid for five years, provided your work travel pattern remains similar. Start a new logbook if your role, employer, or home address changes significantly, or if the ATO asks you to substantiate a claim.

What is the ATO car cost limit for 2025–26?

$69,674 for 2025–26. If your vehicle cost more than this, depreciation and lease payments are capped at this amount for tax purposes. This limit applies to passenger vehicles — it does not apply to utes and vans with a load capacity of one tonne or more.

Can I claim car expenses for an electric vehicle?

Yes. Electric vehicles are treated similarly to conventional vehicles under both the cents per km and logbook methods. Charging costs replace fuel costs in the logbook method. Eligible EVs provided by an employer through a novated lease or as a company car may also qualify for the FBT exemption — see the section above on novated leases and FBT.

Is a novated lease tax deductible?

Effectively yes — novated lease payments are deducted from your pre-tax salary, which reduces your taxable income. You do not separately claim car expenses in your personal tax return because your employer is making the payments and managing the FBT. The tax saving comes from the salary sacrifice arrangement, not from a separate deduction on your return.

Does FBT apply if a company car is used only for work?

Generally no — FBT only arises when the vehicle is available for private use. If a car is genuinely restricted to business use only (not garaged at the employee’s home, not used on weekends, with written evidence of the restriction), FBT may not apply. However, the ATO scrutinises these claims carefully. A commercial vehicle (ute, van) used only for work may qualify for an FBT exemption more easily than a passenger car.

What triggers an ATO audit for vehicle claims?

The main triggers are: claiming exactly 5,000 km every year, claiming 100% business use on a passenger car, claims that are unusually high for your occupation (the ATO benchmarks by industry), no supporting records, or a sudden large increase in vehicle claims year-on-year. The ATO also uses data matching from employer records and motor registries.

How Pinnacle Accounting & Advisory Can Help

Motor vehicle expenses sound straightforward — until you’re sitting down with your records trying to work out which method is best, whether your logbook is still valid, or why your claim was queried by the ATO.

At Pinnacle Accounting & Advisory, Mina Baselyous (CPA and Chartered Tax Adviser, Melbourne) works with employees, sole traders, and small business owners to make sure vehicle claims are maximised, defensible, and ATO-compliant. We also help clients structure vehicle ownership — whether that’s a novated lease, company-owned vehicle, or sole trader claim — in a way that minimises tax across the entire business, not just at lodgement time.

If you’re unsure whether you’re using the right method, whether your logbook is still valid, whether a novated lease makes sense for your situation, or whether it’s worth switching — a single conversation can save you far more than it costs.

Book a No-Obligation Consultation with Mina

You can also explore our tax planning services or our Virtual CFO services for ongoing strategic tax advice. We’re based in Melbourne and work with clients across Australia.

This article is general in nature and does not constitute personal tax advice. Every situation is different — always speak with a registered tax agent before lodging your return.

If the vehicle you are claiming on cost more than the car limit, the rules change again when you come to sell it. Our guide to selling a car above the car limit works through the GST and the balancing adjustment with a full example.

Frequently Asked Questions

This article contains general advice only and does not take into account your specific circumstances. Please speak with a qualified accountant or tax adviser before making financial decisions.

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