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Australia · ATO cents per kilometre method

Mileage rates in Australia

The cents per kilometre method is capped at 5,000 business kilometres per car per income year. 91 cents applies for 2026-27.

What applies now

What applies now
BandRate
Every kilometre91 cents
Most you can claim in a year5,000 kilometres

How a claim is worked out

Take 5,000 kilometres of business travel in Australia. The bands apply in order, so each one is charged at its own rate rather than the whole distance at the top rate.

BandDistanceRateAmount
Every kilometre5,00091 cents$4,550.00
Total$4,550.00

What it used to be

Rates in Australia, newest first. Use the row that covers the date you drove, not the one in force today: an amended return is worked out at the rate that applied at the time.

PeriodAppliesRate
2026-27 NowSince 1 Jul 202691 cents
2024-25 and 2025-26 1 Jul 2024 to 30 Jun 202688 cents
2023-24 1 Jul 2023 to 30 Jun 202485 cents
2022-23 1 Jul 2022 to 30 Jun 202378 cents
2020-21 and 2021-22 1 Jul 2020 to 30 Jun 202272 cents

Quick answers

What is the mileage rate in Australia?

91 cents per business kilometre, capped at 5,000. Published by: the ATO. The cents per kilometre method is capped at 5,000 business kilometres per car per income year. 91 cents applies for 2026-27. Checked against the source on 27 September 2026.

When did the rate in Australia last change?

The current figures apply from 1 Jul 2026. Before that: 88 cents per business kilometre (1 Jul 2024 to 30 Jun 2026).

Is there a yearly limit in Australia?

Yes. The rate covers up to 5,000 kilometres per income year.

What does 5,000 kilometres of business travel come to in Australia?

$4,550.00 at the rates above. It is an estimate, and not tax advice.

Who publishes the rate for Australia?

The ATO. Cents per kilometre method; Cents per kilometre deduction rate determination; Expenses for a car you own or lease.

Where these figures come from

Rates move. If yours has and this page has not, the other countries are here.