Car allowance increase ‘welcome news’

Earlier this month, ATO Deputy Commissioner of Taxation Ben Kelly confirmed the cents-per-kilometre deduction rate for car expenses would be lifted to 78¢, rather than 75¢ as initially promised in mid-March.

ATO announces crackdown on dodgy car claims

The new rate applies to eligible taxpayers who elect to use the cents-per-kilometre method when calculating income tax deductions for their work-related car expenses.

“The Commissioner of Taxation has determined that the rate is 78 cents per kilometre and applies to eligible taxpayers who elect to use the cents per kilometre method when calculating income tax deductions for their work-related car expenses, Mr Kelly said.

Read more at Accountants Daily

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