Using a private car for business purposes

An individual who uses their private car for business travel may be eligible for reimbursement of their travel costs at the so-called cents-per-kilometre rate set by the Australian Taxation Office (ATO).

The reimbursement amount is calculated as the product of the number of business kilometres travelled and the applicable rate per kilometre.

Current rate per 1 km travelled

Financial yearRate per km
2025-26AUD $0.88
2024-25AUD $0.88
2023-24AUD $0.85

The rate covers all running costs of the vehicle including fuel, maintenance, insurance and depreciation according to ATO guidance.
It is calculated under the “cents per kilometre” method and requires you to keep a record of business use and kilometres travelled for each year. Australian Taxation Office


💡 Motolog automatically calculates your eligible reimbursement according to the current ATO rate, using recorded business kilometres and generating ready-to-use travel reports.