Working in Two Jobs - Car Depreciation Possibility

Countryboyperth on 03/06/2019 - 00:23
Last edited 04/06/2019 - 14:27 by 1 other user

Hi all,

My cousin works in two different employments.

Job 1 - 40 hours a week regular employment
Job 2 - Late hours on a weekday and weekends - Total 10 hours a week

He has an ABN as an independent contractor pertaining to job 2 type of role. But for now he is working as part time employee in job 2.

Can he purchase a car and claim depreciation towards his travel for job 2? He uses public transport to travel ( from residence and back) for job 1. If he is eligible to claim car depreciation, is there a limit on how much he can spend on purchase of a new/pre owned car? For how many years he can claim depreciation and what is likely to be residual value. Is it worth going down this path ?

Will he be treated as an independent contractor for job 2 by virtue of his ABN even though he is an employee?

Do depreciation rules call for minimum hours of work before a car depreciation is allowed? Where we can find more information in this regard?

Thanks a lot to the responders.

• 

  jimbobaus on 03/06/2019 - 04:41

  +5

  You can not claim for the car if it is used from Home to Work
  If your cousin is getting public transport to and from job 1 and then from home driving to job 2 then then no claims could be made in that instance.

  If you cousin was driving from Job 1 to Job 2 then he could make claims for expenses (work related car expenses and work related travel expenses)

  Last years rules:
  https://www.ato.gov.au/Individuals/Tax-Return/2018/Tax-retur…

  Current info:
  https://www.ato.gov.au/individuals/income-and-deductions/ded…

  • 

    Typical16-bitEnjoyer on 03/06/2019 - 13:00

    +3

    Thus why I always "attend" my workplace's closest office 5 minutes from me to "check an email" before travelling to the workplace I'm required at on the other side of the city :)

• 

  chumlee on 03/06/2019 - 08:15

  -3

  25% of the value each year can be claimed as depreciation.

  Just tell the accountant you carry tools of the trade & therefore you can claim from home to work. If home is the office then you can claim from home to first job anyway

  5000km log book may be better if not much driving involved

  • 

    tomsco on 04/06/2019 - 08:42

    The accountant couldn’t care less as the tax payer is still the one that signs off on the return. If the ATO audits and discovers it’s a fabrication, tax payer will get stung.

• 

  Some Human on 03/06/2019 - 09:51

  Is job 2 Uber?