# Uber eats and fuel tax deduction



## fruber

thinking of doing uber eats exclusively and just wondering about deductions when I do my tax return next year.

Depreciation - not a problem as I'm going to run my car into the ground anyway with uber and transportation for my family. 

Servicing costs- again no problem as it's a fact of life anyway 

Fuel -is the easiest way just using the cents per km method. I think is 66c per km for the first 5000km ( pretty sure I won't get close to that doing eats only one time a week). So max $3300 deduction. 

Of course I'm going to keep a logbook anyway. 

Opinions?


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## Where to Mister?

If you use the cents per km method, you can not claim for any other car expenses such as servicing, fuel or depreciation.
If you are doing less than 5000km, then this is the easiest.
Don't forget that your km includes all travel, including getting to the pickup location and to/from home, not just the the delivery.


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## fruber

regarding fuel, is it just a case of keeping the receipt and putting it as a deduction in june, as a percentage of how much Eats I use the car for (so lets say 1 out of 7 days)?

What about fuel that isnt used during an Eats work week? Would it be safer to only deduct fuel receipts that you get during an Eats session, or know will be used during Eats?


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## Jack Malarkey

You should base it on the proportion of business kilometres. Fuel is an important car expense but not the only one. Don't forget servicing, repairs, cleaning, interest on any loan to purchase it, depreciation and so on.

You need to keep a log book for at least 12 weeks to establish the business proportion of your total kilometres. (I choose to keep one for the full year.)

The income tax law provides an alternative method. You can claim up to 5.000 business kilometres at 66 cents a kilometre. This method doesn't require a log book, but you need to be able to demonstrate that your method of calculating your business kilometres is reasonable.

If you do use the 66 cents per business kilometre method, you can't separately claim any expenses for that car (including depreciation).

See https://www.ato.gov.au/Business/Inc...ming-motor-vehicle-expenses-as-a-sole-trader/.


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## fruber

Wouldn't it be easier to just use a log book for the 66c method any way? A logbook isn't hard to keep.....enter your start kms and end kms on the odometer each time and that should be enough.


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## Jack Malarkey

fruber said:


> Wouldn't it be easier to just use a log book for the 66c method any way? A logbook isn't hard to keep.....enter your start kms and end kms on the odometer each time and that should be enough.


Yes, that makes good sense.


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## Uber-Guy

Can anyone tell me if you need to be registered for GST to do UberEats?


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## Jack Malarkey

Uber-Guy said:


> Can anyone tell me if you need to be registered for GST to do UberEats?


If you are doing only UberEATS, you don't need to register unless your annual turnover from it exceeds $75,000.

However, there is no threshold if you carry passengers (for example, via UberX). If you do that, you pay GST on UberEATS as well irrespective of turnover.


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