INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)
Calculating car expense deductions
TABLE OF DIVISIONS
| 1 | Overview of the main points in this Schedule |
| 2 | Choosing which method to use |
| 3 | The ``cents per kilometre'' method |
| 4 | The ``12% of original value'' method |
| 5 | The ``one-third of actual expenses'' method |
| 6 | The ``log book'' method |
| 7 | Keeping a log book |
| 8 | Odometer records for a period |
| 9 | Retaining the log book and odometer records |
| 10 | Situations where you don't need to use one of the 4 methods |
| 11 | Definitions of ``car'', ``car expense'', ``holding a car'' and ``owning a car'' |
Division 9 of Schedule 2B (Award transport payments) allows certain expenses to be deducted without getting written evidence. The expenses are transport expenses related to an allowance or reimbursement paid or payable to you by your employer under an industrial instrument that was in force on 29 October 1986.
10-4(2) [Where written evidence not required]If that Division lets you deduct car expenses, or parts of car expenses, without getting written evidence, you don't need to use any of the 4 methods to calculate your deductions for those expenses or parts of expenses.
10-4(3) [Other car expenses]However, your use of the 4 methods for other car expenses you incur for the car for the income year is affected, unless you elect not to rely on Division 9 of Schedule 2B . Section 9-9 of Schedule 2B deals with this matter.
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