how to write off a car on taxes

Want to “write off” a car in Australia? It’s doable, but only for the business-use portion—no, your beach run to get a sausage roll doesn’t count.

For sole traders and employees, claim running costs via the logbook method or the cents‑per‑kilometre method; private use is out, and records are everything.

For businesses, you’ll typically claim depreciation (capped by the ATO’s car cost limit), or use any current instant asset write‑off/temporary full expensing rules if eligible.

If you’re GST‑registered, you can claim input tax credits on the business‑use share; company cars with private use can trigger FBT.

Keep purchase docs, finance interest, fuel, rego, insurance and servicing receipts, plus a 12‑week logbook to prove the business percentage.

Bottom line: apportion correctly, choose the right method, then lodge it in your return or business schedule—and check current ATO guidance or a tax agent so you don’t donate extra to Treasury.