SUBJECT – Deductions – Motor vehicle expenses
Hi I'm Barbara Keating, Small Business and individual tax specialist at MWL Financial Group with over 20 years’ experience in the accounting industry.
Deductions for motor vehicle expenses in relation to private cars are one of the most incorrectly claimed.
Generally speaking if you travel only to and from work motor vehicle expenses are not deductible. If you are able to claim there are 2 methods you could use. Where you wish to claim less than 5,000 kms in work related expenses simply completing a complying log book will suffice as evidence of your claim.
Where you travel more than 5,000 kms a log book for a 13 week period will justify the percentage of your total vehicle expenses you can claim.
Remember the first and last trip of the day are generally not deductible, but if during the day you use your vehicle for work purposes you should be able to make a claim. Commercial vehicles have less requirements for log books but the normal evidence rules apply.
For more information contact us at firstname.lastname@example.org and either me, Barbara Keating or one of our experts will be more than happy to help.