Looking to claim a car deduction with the ATO? You’ve got two main routes: the cents‑per‑kilometre method (up to 5,000 business km per car; no receipts for individual costs, but keep solid trip records) or the logbook method (keep a 12‑week logbook and claim the business‑use % of fuel, rego, insurance, servicing, interest and depreciation—subject to the luxury car limit).
Only the work‑related portion is deductible, and no, commuting from home to the office doesn’t magically become “business use”.
Keep records: odometer readings, dates, purposes and expenses; if you’re GST‑registered, claim input tax credits only on the business‑use share.
Fines are never deductible, and “I took clients to Bunnings” won’t pass without evidence.
When in doubt, check the latest ATO guidance or ask a tax agent; the rules change more often than servo pie prices.
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