Basic car rate – cents per kilometre basis
You now use a single rate per kilometre for all motor vehicles (regardless of the size of the engine).
You must use the basic car rate determined by the Commissioner of Taxation for the year ending 31 March 2026 if you reimburse an employee on a cents per kilometre basis for certain car expenses.
|
FBT year |
Cents per kilometre rate |
|---|---|
|
1 April 2025 – 31 March 2026 |
Rate for the income year 1 July 2025 – 30 June 2026 is 88 cents. |
More information
For more assistance, refer to:
- Fringe benefits tax – rates and thresholds – for calculation rates for the FBT year 1 April 2025 to 31 March 2026
- Motor vehicle and car expenses
- Cents per kilometre method