Hi all
I purchased a vehicle when the instant asset write off was at a high level and will have paid off the loan this financial year.
During this time I’ve been using the vehicle 86% for business use (as a sole trader) and am looking to switch back to cents per km as I do less and less travel for business. My logbook is also due to be renewed so I may also just do that again to calculate.
My question is if I am to sell the vehicle how do I work out how much of the sale is “business income” if I swap over to cents per km? Ie do I need to work out the amount of years at 86% and then the years at c/km once I do sell it?
Do I simply run the logbook next financial year and whatever the new business % becomes is the % I have to claim when selling it?
Any advice would be greatly appreciated as it tends to be any decision I make as a sole trader hurts me financially and usually more than I had anticipated.
note - I also registered for GST recently but wasn’t registered when I first purchased the vehicle.
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