ATO_Log_Book

Motor Vehicle Claims

The ATO’s biggest bugbear, arguably. How it works for Sole Traders using the logbook method (or cents per km method) – home to work is not deductible where that workplace is a stable place ie an office in the city. For a business owner who travels to a site ie a movable workplace – using a builder as an example -home to work is an allowable deduction. All errands for the shopkeeper or business with an office are deductible and should be shown on the Logbook. There’s no specific Legislation covering this its just the MV usage Legislation. To be clear about this – if you’re running a business and you have a static workplace ie an office or a workshed, those trips from home to your place of work are NOT DEDUCTIBLE. They should not form part of the Logbook or in your Diary of trips (using the cents per km method). Unfortunately, it makes perfect sense. The trip to the office is ‘too soon’ and the return trip home is ‘after work has finished’. This aligns with the general ATO outlook on the deductibility of travel.