Job-related car fee tax cuts are the latest goal for tax officials.
Australian Inland Revenue Authority (ATO) closely reviews all work-related mileage returns during tax time and warns drivers to be careful when submitting expense returns.
Ford (Karen Foat), assistant director of ATO, said millions of drivers reported car-related expenses every year, but ATO was concerned that some people still made excessive filings.
"We are still concerned that some taxpayer will be detected if they do not receive an overstatement, and that they may be punished by deliberately overreporting," she said.
"although some people do make mistakes by accident, we are worried that many people deliberately fabricate cunning returns to get higher tax rebates."
In fiscal year 2017 / 18, more than 3.6 million people declared work-related car costs, totaling 7.2 billion yuan, according to ATO.
There are two ways in which taxpayer can file car charges:
At a fixed rate of 68 cents per kilometer, you can declare a mileage of up to 5000 kilometers without the need to provide a receipt.
The declaration is based on a log of the percentage and actual cost of the use of the vehicle for the work. The log must be continuously recorded for at least 12 weeks. You can also use receipts to declare fuel prices or to estimate the cost based on the odometer readings.
(Adrian Raftery), an associate professor of taxation at Deacon University, said car-related fees were "one of the largest deductions declared."
"people can legally use their cars for work purposes, and I still encourage them to declare their legitimate rights," he said. "I very much support people using the method of logging for 12 weeks in a row, and then they can actually record the extent to which they use cars for work purposes."
ATO said it would carefully review the claims compared to those made by taxpayer from other similar occupations.
Ford warned that "driving between the workplace and home does not constitute a condition for filing tax deductions."
"you have to use your car for work-related travel needs, such as traveling from one place to another or transporting large tools," she said.
Inland Revenue Department warning
Unless you need to carry bulky equipment, you are usually unable to apply for a trip between your home and your workplace.
If your employer has reimbursed the cost of a working car, please don't take advantage of it at both ends.
Keep your record to prove that your declaration is true.