CLARIFYING CAR EXPENSE CLAIMS If you are claiming a deduction for using your own car (including a car you lease or hire), it is treated as a car expense.
If you use someone else’s car for work purposes, you may be able to claim the direct costs (such as fuel) as a travel expense.
If the travel was partly private, you can claim only the work-related part.
When you CAN claim for car expenses: You can claim a deduction for work-related car expenses if you use your own car in the course of performing your job as an employee, for example, to: – carry bulky tools or equipment – attend conferences or meetings – deliver items or collect supplies – travel between two separate places of employment (for example, when you have a second job) – travel from your normal workplace to an alternative workplace and back to your normal workplace or directly home – travel from your home to an alternative workplace and then to your normal workplace or directly home (for example, if you travel to a client’s premises) – perform itinerant work. If you receive an allowance from your employer for car expenses, it is assessable income and the allowance must be included on your tax return. Most people CAN’T claim the cost of travel between home and work because this travel is private. Call the Eclipse team on 9531 0922 to find out how this applies to you.