Don’t forget to claim the Mileage on Your Car
You can claim Mileage on your car, for any trip that’s related to your rental property such as trips to and from the property (maintenance, inspections, showing tenants through etc), the Bank (to check the rent, arrange loans), Lawyer, Accountant, Hardware Store, Tenancy Tribunal, anything that directly relates to the rental.
The motor vehicle mileage rate is reviewed every year by IRD and the rate for 2014 remains at 77 cents a kilometre for both petrol and diesel fuel vehicles up to 5,000 km. To claim mileage you are required to keep a log book with records of each trip and odometer readings. Contact us if you’d like one of Storeys free log books.
You can choose to use the actual costs rather than the mileage rate. If you do this, you need to keep records to support any expenditure you claim.
You must record 3 months mileage every 3 years and claim the business percentage of all running costs. If your total business related mileage is less that 5,000 km pa, it is usually easier just to claim the 77c per km – which covers all running costs and no tax receipts need to be kept.
The mileage rate doesn't apply to motorcycles.
Storey’s Rental Folder
We can provide you with a Rental Folder to store all your rental property paperwork in. This has been set up to ensure that all your paperwork will meet IRD audit standards. This Rental Folder is an easy way to keep all paperwork organised and minimise your time requirements when it comes to completing tax returns. Using our Rental Folder and completing our checklists allows you to qualify for a $50 discount on your tax returns each year.