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PMD1234(Newbie)Newbie
6 Sept 2024

Hi, I use my car for work at a 98% usage rate. The car has been diagnosed with head gasket failure and a cracked cylinder head. It’s going to be about the 6k mark to replace the engine or potentially more to fix it. I know I can claim repairs, however I know that repairing said engine in that way can cause compression issues and further engine damage down the line. I’ve seen that engine replacements (even with the exact same engine) are put down as a capital expense and wouldn’t be able to be claimed, however I think this may be cheaper in the long run. I just wanted to check here and make sure that I wouldn’t be able to claim anything if I were to replace the engine?

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Can I claim an engine replacemnet as a tax deduction? | ATO Community