Maximise your motor vehicle deductions
Let’s be honest – If your business has wheels, you’re probably spending a heaps of fuel, servicing, regos, insurance and more. The good news is! You can claim a chunk of that back at tax time. But ONLY if you track is properly.
One of the best ways to do that? The Logbook Method
The What
It helps you determine how much of your car’s use is for the business.
You MUST keep track of it for 12 weeks, and that percentage applies to most of your car costs – even years to come.
The How
Keep a logbook for 12 weeks – write every trip: date, purpose, start & end km (Paper or electronic version)
Keeps all receipts – Fuel, tyres, repairs, rego’s, insurance etc
Store your logbook somewhere safe – its Valid for 5 years
What If I Don't Want To Track Everything?
That’s perfectly fine, this is ultimately your choice. But.
The ATO rates have a cents per km method, but its capped at 5,000km and doesn’t cover as much as the logbook method.
💡The sooner you knock out those 12 weeks, the more you’ll save. It’s literally money in your glovebox.
