vehicle deductions

    
Cents Per km Method 12% of Original Value Method One Third Actual Expenses Method Log Book Method
Eligibility Requirements None Business use must exceed 5,000 km Business use must exceed 5,000 km Car must be held
Expense base Business km’s travelled

Multiply by X cents for each km

Original value

Multiply by 12%

Total vehicle expenses

Multiply by 33.33%

Total vehicle expenses

Multiply by business use percentage

Do you have to substantiate the expenses? No (reasonable estimate of business km travelled). No Yes (written evidence of expenses) Yes (written evidence of expenses)

  • A maximum of 5,000 km can be claimed using the cents per km method.
  • A log book must be kept for a continuous 12 week period, and can be valid for 5 years.
  • The motor vehicle depreciation cost limit is $57,466.00.