Question

According to ITAA97 Div 28, taxpayers can claim a deduction for car/ motor vehicle expenses. Select the most accurate statement: Select one: When using the Logbook Method, you are limited to 5,000km and cannot then also claim for petrol costs and depreciation When using the Logbook Method, you must keep note of odometer readings for a 12 week period and keep records in relation to petrol, insurances, servicing plus private and business usage None of these options are correct Unless a taxpayer chooses to use the Cents per kilometre method, the Logbook Method will automatically apply When using the Cents per KM Method, you can claim unlimited kilometres plus claim for petrol costs, insurances and depreciation

Answer 1

Correct statement:-

When using the Logbook method, you must keep note of adometer readings for a 12 week period and keep records in relation to petrol, insurances, servicing plus private and business usage.