Vehicle Deductions — Cents-per-km vs Logbook
Vehicle Deductions — Cents-per-km vs Logbook
Two ways to claim your ute or van — cents-per-km or logbook. The rates, caps and records the ATO expects.
Cents-per-km method
| Rate (2024-25 and 2025-26) | 88c per km |
| Cap | 5,000 business km per car, per year |
| Maximum claim | $4,400 (5,000 × 88c) |
| Records | No logbook needed, but show how you worked out the km |
Logbook method
| Logbook period | 12 continuous weeks |
| Valid for | 5 years, if your usage pattern stays similar |
| What you claim | Business-use % of all running costs + depreciation |
Car cost limit (2025-26)
| Depreciation cost limit | $69,674 (ex-GST) |
| Maximum GST credit on a car | $6,334 (1/11 of $69,674) |
Guidance only — not financial advice. A vehicle built to carry 1 tonne or more (many one-tonne+ utes) or 9+ passengers isn't a 'car' for these rules — the methods and limits differ, so check your payload. Current 2025-26. ato.gov.au.
Sources: ATO — Motor vehicle expenses · ATO — Car cost limit & depreciation
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