Apportion an expense
Allan_10136328
Member Posts: 4 ✭
I'd like to know the recommended way to apportion an expense. EG. Purchase fuel for car. 60% of that fuel is for business and the other 40% is personal non taxable. Do I enter in all the fuel and other car expenses and journal the private use part each quarter or should I do it for each transaction. There does not seem to be any onboard calculator to help with this so thinking the former is the best bet. What does everyone else do?
1
Comments
-
Hi Allan
There is no correct way, it depends on your business & preference, guided by your accountant.
For micro/small business where your vehicle is 100% business deduction like ute, then claim 100% of everything.
If you use your regular car for business, most small business log klm travelled and claim these back. You only have to do a log book for 3 months and can use this as an average for 12 months. Klm $ will depend on size of vehicle's engine. You pay all the car expenses personally.
Or you can use the % method, record the start & finish odometer reading, log your klm for 3 months for business. Work out your % of business klm to total klm travelled, and use this for your %. Repeat the logbook average every so often or if you think your klm have increased.
You will need some sort of log if audited to prove how you worked out you claim.
I personally would enter the % on each expense as you went, especially if gst involved.0
Categories
- All Categories
- 6.8K Accounts Hosted
- 10 📢 Reckon Accounts Hosted - Announcements
- 6K Reckon Accounts (Desktop)
- 3 📢 Reckon Accounts Desktop - Announcements
- 1.2K Reckon Payroll 🚀
- 21 Reckon Payroll Help Videos 🎥
- 21 Reckon Mate App
- 18 📢 Reckon Payroll - Announcements
- 3.1K Reckon One
- 7 📢 Reckon One - Announcements
- 11 Reckon Invoices App
- 14 Reckon Insights
- 114 Reckon API
- 830 Payroll Premier
- 325 Point of Sale
- 1.9K Personal Plus and Home & Business
- 73 About Reckon Community