Work-Related Travel Expenses

Online Tax Return

The taxpayer can claim vehicle and other travel expenses incurred in the course of performing work, but generally can’t claim for trips between home and work because this is considered as private travel.

Travel expenses you may be able to claim in your tax return include:

– Travel expenses paid for meals, accommodation and incidentals while away overnight for work, such as an interstate work conference (generally, you can’t claim for meals if the travel did not involve an overnight stay)

– The costs you actually incur (such as fuel costs) when using a borrowed car or a vehicle other than a car for work related purposes

– Car-hire fees

– Air, bus, train, tram and taxi fares.

You may be required to show that you have reduced your claim to exclude any private portion of your trip.

If the travel expenses are reimbursed, you cannot claim any deduction.

There are some record-keeping requirements for travel expenses, depending on whether the travel allowance is shown on the payment summary, whether the travel was domestic or overseas, the length of the travel and the current occupation.

Vehicle expenses – other than a car

If you’re entitled to claim expenses for using a borrowed car or a vehicle other than a car, keep receipts for:

– Fuel and oil

– Lease payments

– Repairs and servicing

– Interest on a car loan

– Insurance

– Registration.

Travel Allowance
If your travel allowance is shown on your payment summary and you want to make a claim against it, keep a written evidence for the whole of your claim, not only the excess over the reasonable amount.
The records you are required to keep for travel expenses for fares, accommodation, food, drink and incidentals depend on the length of your trip and if it is domestic or international.
To claim meal, accommodation and incidental expenses you incurred when travelling away overnight for work:
– The travel is undertaken in performing work activities.
– You paid the expenses yourself and not being reimbursed for these expenses
– Only be working away from home for a short period or periods of time and not living away from home
– Not paid these expenses because of a choice you made about where to live
– Have a residential place at a location away from the work location to which you are travelling.
If you travel for six or more nights in a row, you may be required to keep a travel diary in which you record the places, dates, times and duration of the activities and travel. The purpose of a travel diary is the accurate calculation of the employment-related and private elements of your trip. If the travel was partly private, only the work-related part can be claimed.

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