INCOME TAX ASSESSMENT ACT 1936 (ARCHIVE)
Calculating car expense deductions
TABLE OF DIVISIONS
| 1 | Overview of the main points in this Schedule |
| 2 | Choosing which method to use |
| 3 | The ``cents per kilometre'' method |
| 4 | The ``12% of original value'' method |
| 5 | The ``one-third of actual expenses'' method |
| 6 | The ``log book'' method |
| 7 | Keeping a log book |
| 8 | Odometer records for a period |
| 9 | Retaining the log book and odometer records |
| 10 | Situations where you don't need to use one of the 4 methods |
| 11 | Definitions of ``car'', ``car expense'', ``holding a car'' and ``owning a car'' |
Odometer records for a period are kept in the form of a document in which the following are entered:
(a) the car's odometer readings at the start and the end of the period;
(b) if a nomination under section 7-5 (Replacing one car with another) affects the car with effect from a day in that period - the odometer readings, at the end of that day, of both cars affected by the nomination. 8-2(2) [Form and time of entries]
Each entry under subsection (1) must be in English and must be made at or as soon as possible after the start or end of the period, or the end of the specified day, as appropriate.
8-2(3) [Further entries required]The following must also be entered in the document:
(a) the car's make, model and registration number (if any);
(b) if the car has an internal combustion engine - its engine capacity expressed in cubic centimetres;
(c) if a nomination under section 7-5 (Replacing one car with another) affects the car - the corresponding details for the other car affected by the nomination. 8-2(4) [Time and form of entries]
Each entry under subsection (3) must be made in English and must be made before you lodge your income tax return.
8-2(5) [Entries after lodgment]The Commissioner may allow you to make an entry under this section after you lodge your income tax return.
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