Working out travel and car related tax deductions can be an extremely complicated area of tax compliance.
For individuals, car and travel related expenses can be one of the more difficult calculations that you will need to make each year.
Car related expenses means the costs that you incurred buying, leasing or hiring a car that were directly work related.
Travel expenses refers to any expenses you incurred in the course of travelling to and from work related engagements. This may include petrol costs, short term car hire, parking fees, and meals and incidental expenses incurred whilst staying away from home.
However, travelling between your home and your workplace is not considered work related travel, even if you do minor work related tasks on your journey.
You can only claim work related travel and car expenses for trips between your work and home if you used your car because you had to transport bulky equipment related to your job, your work for your employer originated at home, or if your workplace regularly shifted throughout the day.
If you have more than one job then you can claim car and travel deductions for any trips taken between the workplaces.
It is also possible to claim deductions for trips taken between your workplace and alternative sites whilst still on full duty, and trips between alternative sites and your home.
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