Hi,
I'm looking for clairifcation on claiming work related travel, using the cents per kilometer while having a novated lease.
I found the case study below on the ATO website. The case study notes that under a novated lease, the employer makes the lease payments and generally incurs all the running costs of the car. Under my novated lease, i am listed on the regisration papers as the owner and i pay lease and running costs. I pay both fiance and operating costs, which are salary sacrificed with pre and post tax deductions from my weekly salary.
Since I pay for the operating costs of the vehicle such as fuel, maintanence, tyres, insurance and rego can i claim the portion of work related kilometers travelled when using the vehicle?
An employee manager claimed $3,800 in work-related car expenses. When we asked the taxpayer to verify that they owned the car and it was registered in their name, we discovered the car was under a novated lease. Under a novated lease, the employer makes the lease payments and generally incurs all the running costs of the car. An employee who claims a deduction for these expenses is double-dipping.
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