Not every journey you make for work is tax deductible. The difference often comes down to whether you are travelling to work or travelling as part of your work.
You might drive to an office, visit clients, travel between job sites or carry equipment in your vehicle. Some of these journeys may qualify for a tax deduction. Others are considered private travel under Australian tax rules.
Understanding the distinction can help you claim eligible work-related travel expenses without including ordinary commuting costs.
Can you claim travel between home and work?
Generally, travel between your home and your regular workplace is a private expense.
This remains the case even when you need to make the journey to earn your income.
For example, your commute does not usually become deductible because:
- You live a long distance from your workplace.
- You start work early or finish late.
- Public transport is not available.
- You need your car during the working day.
- You perform some work duties at home before leaving.
Sarah drives 30 kilometres from home to her regular workplace each morning and returns home after work.
Although Sarah needs to attend the office to perform her job, the journeys are ordinary commuting and are generally not deductible.
Which work-related journeys may be deductible?
Some travel occurs while you are performing your employment duties rather than simply getting to or from work.
The following diagram shows how different journeys are generally treated.
Consider where you are travelling and why.
Home to regular workplace
Ordinary travel to begin or finish your working day.
Generally not deductibleWorkplace to client location
Travel required while carrying out your employment duties.
Generally deductibleDirectly between two jobs
Travel from one income-producing workplace to another.
May be deductibleHome to alternative workplace
Travel to a location other than your regular workplace as required by your duties.
Depends on circumstancesGeneral guide only. The purpose of the journey, employment arrangements and relevant exceptions must be considered.
Can you claim travel between two workplaces?
Direct travel between separate workplaces can generally be deductible when the journey is undertaken to perform income-producing duties.
This can include travelling from one job directly to another job or moving between work locations during the working day.
Michael works at a medical clinic during the day. After finishing his shift, he travels directly to an evening teaching job.
The journey between the two workplaces may be deductible. His ordinary journey from home to the clinic and his return home after teaching are generally private.
What about travel to clients and alternative workplaces?
If your employment duties require you to travel from your regular workplace to a client, another office or a different work site, the journey may be deductible.
For example, an accountant who travels from the office to a client's premises for a meeting is generally travelling in the course of their employment.
Travel from home directly to an alternative work location can also qualify in some circumstances. The nature of the duties and the reason for the journey are important.
Choosing to work from a café, shared workspace or another location for personal convenience does not automatically make the travel deductible.
The journey needs to satisfy the relevant work-related travel requirements.
Can you claim travel when carrying bulky equipment?
A limited exception may apply where you are required to transport essential bulky tools or equipment between home and work.
The ATO considers factors such as:
- Whether the tools or equipment are essential for your employment duties.
- Whether the equipment is sufficiently bulky that using a vehicle is practically necessary.
- Whether suitable secure storage is available at the workplace.
- Whether transporting the equipment is required by the work rather than personal preference.
Simply carrying a laptop, handbag or ordinary work bag generally does not qualify.
Daniel uses large specialist equipment for his employment and is required to transport it between work locations.
If the equipment is essential, genuinely bulky and cannot reasonably be stored securely at work, some travel may qualify.
If suitable storage is available and Daniel takes the equipment home by choice, the exception may not apply.
What if you work at different locations every day?
Some employees perform genuinely itinerant work. In these circumstances, travel may form an essential part of carrying out employment duties.
Itinerant work can involve continually changing work locations and ongoing movement between sites.
Simply attending different locations occasionally does not necessarily make your work itinerant.
Work-related travel: Common examples
The table below summarises how common journeys are generally treated.
| Type of travel | General tax treatment |
|---|---|
| Home to your regular office | Generally private and not deductible. |
| Office to a client meeting | Generally deductible when required for work. |
| Direct travel between two jobs | May be deductible when travelling directly between workplaces. |
| Home to an alternative workplace | May be deductible depending on the work requirements and circumstances. |
| Travel carrying essential bulky equipment | A limited exception may apply where the relevant conditions are met. |
| Travel as part of itinerant employment | May be deductible where travel is a fundamental part of the work. |
| Home to office after working from home | Generally ordinary commuting and not deductible. |
How do you calculate deductible car expenses?
Once you have established that a journey is deductible, the next step is calculating the eligible vehicle expense.
If you use your own eligible car for work, two common methods are available.
Cents per kilometre
Uses the ATO's prescribed rate for eligible work kilometres, subject to a maximum of 5,000 business kilometres per eligible car per income year. You must be able to explain how you calculated the kilometres.
Logbook method
Uses a substantiated business-use percentage to calculate the deductible share of eligible car expenses. A representative logbook generally covers at least 12 continuous weeks.
The applicable cents per kilometre rate depends on the income year. Under that method, running costs and depreciation are included in the rate and cannot be claimed separately.
Different substantiation rules may apply to vehicles that are not classified as cars for tax purposes.
Neither the cents per kilometre method nor the logbook method makes ordinary home-to-work commuting deductible.
You must first establish that the travel qualifies as work-related.
What records should you keep?
The records required depend on the type of expense and the calculation method you use.
As a practical starting point, keep:
- Dates and destinations of eligible work trips.
- The employment-related purpose of each journey.
- Kilometres travelled where relevant.
- Logbook and odometer records where required.
- Receipts for eligible expenses.
- Details of any employer reimbursements.
- Evidence of why travel to an alternative location was required.
Receiving an allowance does not automatically mean that an expense is deductible.
If your employer reimburses you for an expense, you generally cannot claim that expense again.
Related tax information
Frequently asked questions
Can I claim petrol for driving to work?
Generally not when the journey is ordinary travel between your home and regular workplace. Limited exceptions may apply.
Can I claim travel between two jobs?
Direct travel between separate workplaces may be deductible where the relevant requirements are satisfied.
Can I claim travel after working from home?
Not automatically. Performing duties at home does not generally make a later journey to your regular workplace deductible.
Can I claim travel when carrying tools?
A limited exception may apply for essential, genuinely bulky equipment that must be transported for practical work reasons. Ordinary work bags and laptops generally do not qualify.
Do I need receipts to claim car expenses?
The evidence depends on the method used. Under the cents per kilometre method, you do not need fuel receipts to calculate the deduction, but you must be able to demonstrate how you worked out your eligible business kilometres.
Before claiming work-related travel expenses
The important question is not simply whether a journey is connected to your job.
You need to establish whether the expense was incurred in earning your assessable income and satisfies the relevant deduction rules.
Review the purpose of each journey, separate private commuting from deductible work travel and retain the records needed to support your claim.
Not sure which travel expenses you can claim?
R J Sanderson & Associates can help you review your work-related travel expenses and understand which deductions may apply to your circumstances.
Speak to your RJS accountantSources and further reading
Information current as at October 2026.
This content is general commentary only and does not constitute advice. Before making any decision or taking any action in relation to the content, you should consult your professional adviser.
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