Cents Per Km Rates for 2005-06
The cents per kilometre (km) method is one of four methods used to claim a deduction for your income-related car expenses.
This method can only be used if your total claim is for no more than 5,000 business km’s per car.
The amount you can claim per km is based on the engine capacity of your vehicle.
For the 2005-06 year, the following table of rates apply:
| Engine capacity | Cents per kilometre | |
| Ordinary car | Rotary engine car | 2005-06 income year |
| 0 – 1,600cc | 0 – 800cc | 0.55 |
| 1,601 – 2,600cc | 801 – 1,300cc | 0.66 |
| 2,601cc + | 1,301cc + | 0.67 |
Online Calculator
The Australian Taxation Office have an online Work Related Car Expenses calculator available from their website.
The calculator will automatically determine your eligibility and calculate your claim under each of the four methods. You may use the method that gives you the largest deduction, as long as you have the evidence required for that method.
This information is for guidance only and is not intended as specific advice to any reader. Professional advice should be obtained before acting on any information contained herein. The publisher accepts no responsibility for loss occasioned to any person or organisation as a result of action or the refrain of action as a consequence of the contents of this publication.