Private ruling: Travel
Published: August 2014
Ruling period: Year ended 30 June 2014
Date scheme commenced: 1 July 2013

Ruling: Q1: Are you entitled to a deduction for travel to your doctor or physiotherapy treatments? | A1: No.


Relevant legislative provisions: Income Tax Assessment Act 1997 Subsection 28-25(3)

Reasons for decision: Summary: Division 28 of the Income Tax Assessment Act 1997 (ITAA 1997) sets out the rules for claiming deductions for car expenses. Section 28-25 of the ITAA 1997 provides that you calculate your deduction using the 'cents per kilometre' method by multiplying the number of business kilometres the car travelled in the income year by the number of cents based on the car's engine capacity. Subsection 28-25(3) of the ITAA 1997 defines business kilometres as kilometres that are travelled in the course of producing assessable income. In your case, while we accept that the injury occurred at work and you would not have incurred the expense but for this injury, the kilometres travelled are not to produce your assessable income. Therefore, you are not entitled to a deduction for travel for your doctor and physiotherapy treatments.

Relevant facts: You suffered a work place injury. | You did not receive compensation payments. However, Workcover are paying for your doctor and physiotherapy treatments. | Workcover do not pay you for travel to your treatments unless the travel in more than 50 kilometres.