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Car logbook and mileage log: cents per km vs logbook method
If you use your car for business, the records you keep decide what you can claim. Here's how the ATO's two main methods for sole traders compare, and what to log for each.
Method 1: cents per kilometre
You claim a set rate for each business kilometre, up to a cap of 5,000 business kilometres per car. The ATO's cents per kilometre method page lists the rate for each year: 88 cents per km for 2025-26 and 91 cents per km for 2026-27, as published when we checked. You don't need a logbook, but you need to be able to show how you worked out your business kilometres, for example from diary records.
Method 2: logbook
You keep a logbook for a continuous 12-week period that's representative of your travel, then claim the business-use percentage of your actual car costs: fuel, rego, insurance, servicing, interest and decline in value. See the ATO's logbook method page for what the logbook must record. If you drive a lot for work, this method can give a bigger claim than cents per km, but it needs more records.
What to log for each trip
| Field | Why |
|---|---|
| Date | Shows when the trip happened |
| Start and end odometer readings | Proves the distance |
| Kilometres | Adds up to your business total |
| Purpose (for example, "site visit, client X") | Shows it was for business |
Expenses and GST credits
Log business expenses with the date, supplier, amount and GST. If you're registered for GST, you may be able to claim GST credits for the business share; see Claiming GST credits.
Employees claiming work car use have their own ATO pages, for example the cents per km method for individuals.
General information only, not tax advice. Rules and rates change, so check the linked ato.gov.au page for the current version, or ask a registered tax agent about your situation.
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Expenses with GST credits, a trip log, and cents per km side by side with your logbook percentage, plus a fillable A4 car logbook for the glovebox.
- Expenses, Trip Log, Cents per km, Logbook and Summary tabs
- Cents per km set to 91c/km for 2026-27, up to 5,000 km per car (one editable cell)
- 3-page fillable A4 car logbook PDF
- Compare the two car methods at tax time
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See it on Whop →Related guides
- Work-from-home and car deductions: how the ATO methods work
- Side hustle income tracker for Australians
- GST and BAS tracker spreadsheet for Australian sole traders
General information only, not financial, tax or legal advice. Check the official pages linked above, or ask a registered tax agent, before you rely on anything here. Last checked 16 Nov 2026.