When are travel expenses allowable as a deduction?
Eligible work related travel may include the following:-
(a) travel between work locations,
(b) travel to attend meetings, conferences, training courses etc.
(c) travel to attend client and customer meetings,
(d) travel to pick up goods, supplies or equipment for work.
Travel between home and work is considered private travel and not allowable as a tax deduction. This includes situations where minor tasks are completed between home and work e.g. picking up mail and trips to work outside of normal office hours.
However travel between home and work can be claimed where:-
a) The taxpayer is required to transport bulky items to and from their work location due to there being no secure location to store them on site. Bulky items include heavy equipment which cannot be easily transported using public transport.
b) If you are required to travel to an alternative location for business purposes prior to attending your normal place of employment e.g. attend a client meeting.
c) You are on-call and your work is deemed to have commenced before you leave your home e.g. emergency services doctor providing directions while in transit.
Once you have established your total eligible business kilometres click here to find out what methods are available for your travel expense deduction.
To find out more contact Ask Us Tax professionals for a confidential discussion via our contacts page. Click here.