You can claim deductions you incur when travelling for business or paying for employee travel, for example:
- train fares
- bus fares
- taxi fares.
However, there are special rules for claiming expenses incurred while travelling overnight on business.
Overnight business travel expenses
If you stay away from home for one or more nights on business travel you generally need to keep written evidence of all expenses to claim a deduction.
If you travel away from home for six or more consecutive nights, you need to use a travel diary or similar document to record the detail of each business activity before your travel ends, or as soon as possible afterwards. You must record:
- the nature of the activity
- the day and approximate time the business activity began
- how long the business activity lasted
- the name of the place where you engaged in the business activity.
If you operate your business as a company or trust, fringe benefits tax may apply if the employee travel includes private activities and it has been paid for by the employer.
If you are a sole trader and your travel is for both business and private purposes, you must exclude the private expenses from your claim.