20/07/2026
🚗 Tax Myth: "I store my company car at home, so my morning commute is a business expense."
According to the IRD, the answer is a firm no. No matter how you track your mileage, your travel between home and work is legally classified as a private expense.
The rules remain clear, even with the IRD’s fresh 2025–2026 vehicle kilometre rates now in play. If you claim using the kilometre rate method, the Tier 1 rates (for the first 14,000 total km) are:
Petrol: $1.20 / km
Diesel: $1.30 / km
Electric: $1.22 / km
Hybrid: $0.90 / km
The Hard Rules on Commuting:
🛑 Where it’s parked doesn’t matter: Even if your vehicle is signed up with company logos and kept in your driveway for security or charging, driving to your permanent office or site is still personal.
🛑 Working from home doesn't change it: Checking emails on the couch before you leave doesn't turn your drive into business travel.
What CAN you claim?
✅ Travel from your office to see a client, visit a site, or pick up stock.
✅ Travel between different job sites during the day.
✅ Travel from home to your first job (and back from your last), but only if your home is objectively your absolute base of operations (like a mobile tradesperson).
If you want to ensure your vehicle logs and claim percentages are 100% compliant with the new rates, please reach out to your client manager directly or send our team an email. We're here to help get it sorted!