How many kilometres can I claim on my tax return without a logbook in Australia?
You can claim up to 5,000 business kilometres on your Australian tax return without a logbook, using the "cents per kilometre" method. This method allows a fixed rate deduction per kilometre without needing detailed records.
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How it works in practice
The Cents Per Kilometre Method
In Australia, if you use your car for work-related travel, you can claim a deduction for car expenses. One of the simplest ways to do this is using the "cents per kilometre" method, which does not require a logbook. This method allows you to claim a set rate for each business kilometre travelled.
Claim Limit and Calculation
Under this method, you can claim a maximum of 5,000 business kilometres per car per income year. The rate is set by the Australian Taxation Office (ATO) each year. For the 2023–24 income year, the rate is 85 cents per kilometre. You calculate your deduction by multiplying your total business kilometres (up to 5,000) by the ATO's cents per kilometre rate. While you don't need a logbook, you must be able to show how you calculated your business kilometres, such as by using a diary or odometer readings.
Important exceptions
The cents per kilometre method has limitations. It only applies to claiming expenses for a single vehicle, not multiple cars. It also does not cover actual car expenses like fuel, registration, insurance, or maintenance, as these are factored into the set per-kilometre rate. If you travel more than 5,000 business kilometres or want to claim the actual costs of running your vehicle, you must use the logbook method, which requires detailed records.
What you should do now
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Keep a clear record, such as a diary, of your business-related car trips throughout the year, noting dates, starting and ending points, and the purpose of each journey.
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Accurately record your odometer readings at the start and end of the income year if you plan to use this method to estimate total kilometres.
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Calculate your total business kilometres for the income year, ensuring it does not exceed the 5,000-kilometre limit per vehicle.
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Multiply your total business kilometres by the ATO's approved cents per kilometre rate for the relevant income year.
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Include this calculated deduction in the "Car expenses" section of your annual Australian tax return.
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