September 24, 2025

Claiming Work-Related Travel Expenses—What’s Legit and What’s Risky

Published: 24 September 2025 Gotax Publishing

Work-related travel expenses are one of the most claimed—and most audited—deductions in Australia. Whether you’re driving between job sites, attending client meetings, or flying interstate for work, the ATO wants to know: is it legit?

This guide breaks down what you can claim, what you can’t, and how Gotax helps you lodge fast and stay compliant—whether you’re using a Quick Return ($25), Full Tax Return ($65) for wage earners, or Small Business Tax Return ($140) for ABN holders.

What Counts as Work-Related Travel?

You can claim travel expenses if they’re directly related to earning income. This includes:

Driving between separate workplaces (not home to work)
Visiting clients or job sites
Attending work-related conferences or training
Overnight travel for work (accommodation, meals, transport)
Using your own car for business purposes

If you’re an ABN holder or sole trader, travel between your home office and client sites may also be claimable.

What Doesn’t Count (ATO Red Flags)

The ATO is strict. These are common mistakes:

Home to work travel – not deductible for employees
Commuting to your regular workplace
Trips with a personal component (e.g. holidays with a work meeting tacked on)
Claiming without records
Claiming 100% of car expenses without a logbook

If it’s not directly related to earning income, don’t claim it.

How to Calculate and Record Travel Expenses

There are two main methods for car expenses:

1. Cents per kilometre method

Up to 5,000 km per year
85 cents/km for 2025
No receipts needed, but you must justify the distance

2. Logbook method

Track work vs personal use for 12 weeks
Claim actual expenses (fuel, servicing, insurance, depreciation)
Requires detailed records

For other travel (flights, hotels, meals), keep receipts and a travel diary. If you’re running a business, use eCashBooks.com.au to track expenses, generate reports, and stay GST-compliant.

ABN vs PAYG Travel Claims

Employees (PAYG) can claim travel between workplaces, client visits, and overnight trips—but not commuting
ABN holders can claim broader travel, including trips from home office to client sites, supplier visits, and business errands

Gotax supports both. Choose:

Full Tax Return ($65) – for wage earners
Small Business Tax Return ($140) – for ABN holders and sole traders

How Gotax Helps You Claim Safely

Guides you through eligible travel deductions
Flags risky claims and audit triggers
Supports both cents/km and logbook methods
Helps ABN holders claim correctly and track GST
Integrates with eCashBooks.com.au for record keeping

Visit the Gotax Online Library for more deduction tips.

Example: A Tradie’s Travel Claim Done Right

Liam, a self-employed plumber in Newcastle, drives between job sites daily. He used to guess his kilometres and claim fuel—but got flagged by the ATO.
Solution: Liam switched to the logbook method, tracked his usage with eCashBooks.com.au, and lodged with Gotax’s Small Business Tax Return ($140).
Outcome: His claim was accurate, compliant, and audit-safe—and he got a bigger refund.

Frequently Asked Questions

Can I claim travel from home to work?

No. Commuting is not deductible for employees.

What about travel between job sites?

Yes. That’s claimable if it’s part of your workday.

Can I claim car expenses without a logbook?

Yes—up to 5,000 km using the cents/km method.

What’s the rate for cents/km?

85 cents/km for 2025.

Can I claim flights and hotels?

Yes, if the travel is work-related and not private.

Do I need a travel diary?

Yes—for overnight trips. It helps prove the purpose.

What’s the logbook method?

Track work vs personal car use for 12 weeks. Claim actual costs.

Can I claim tolls and parking?

Yes—if they’re work-related.

What if I use my car for both work and personal?

Use a logbook to apportion expenses.

Can ABN holders claim more travel?

Yes. Home office to client site travel is usually claimable.

What’s the best way to track travel expenses?

Use eCashBooks.com.au for mileage, receipts, and GST.

What’s the difference between Full and Small Business Tax Return?

Full Tax Return ($65) is for wage earners. Small Business Tax Return ($140) is for ABN holders.

Can I lodge online with Gotax?

Yes. Fast, simple, and mobile-friendly.

Is Gotax a registered tax agent?

Yes. We’re registered with the Tax Practitioners Board.

Where can I learn more?

Visit the Gotax Online Library.

What Next?

Claiming travel expenses? Do it right.
Choose your path:

Fast, simple, and built for Aussies. Gotax makes online tax returns easy—and audit-safe.
Track your travel and GST with eCashBooks.com.au.

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