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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The car is the asset. To repair the car you need to replace the engine.
As long as the engine is the same type of engine then doing this would be a repair of the car.
Same question on this forum
https://community.ato.gov.au/s/question/a0J9s000000TIx6/p00244145
All replies
The car is the asset. To repair the car you need to replace the engine.
As long as the engine is the same type of engine then doing this would be a repair of the car.
Same question on this forum
https://community.ato.gov.au/s/question/a0J9s000000TIx6/p00244145
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