Truckies – Maximise Your Tax Return This Year!

Blue Orchid Accounting • October 1, 2025

For many Australian truck drivers, tax season can feel like a long-haul journey without a clear route. Between record-keeping, knowing what’s claimable, and staying up to date with ever-changing rules, there’s a lot to keep track of — especially when you spend more time on the road than at a desk.


Fortunately, there are some practical approaches you can take that may help make tax time less complicated. From travel expenses and vehicle costs to the value of working with someone who understands your industry, this article unpacks ways that truck drivers, whether team member or owner-operators, can confidently approach their tax return.


Let’s look at a few valuable tips that may help you make the most of your Central Coast taxation situation this year.

Claim Work-Related Travel Expenses the Right Way

If you regularly travel long distances or sleep away from home for work, you may be able to claim certain travel-related costs. The Australian Tax Office (ATO) allows travel deductions directly linked to earning income, but they must be recorded accurately and backed by supporting evidence.


Some expenses that truckies might be eligible to claim when working away from home include:


  • Overnight accommodation is required when sleeping away from home due to your route.
  • Meal expenses during multi-day trips are either actual or calculated using ATO-determined reasonable allowances.
  • Incidental expenses such as parking, tolls, or small costs related to long-distance travel.


To make the most of these opportunities, it’s important to:


  • Keep detailed travel records, including dates, times, locations, and the purpose of each trip.
  • Retain receipts or bank records that show actual expenses paid.
  • If claiming an allowance, understand the ATO’s reasonable allowance guidelines and how they apply to your situation.


Working with a tax accountant with experience with transport clients can help you clarify which of your regular costs may be considered deductible.

Know What Vehicle Costs Are Deductible

Whether you drive your own truck or operate one provided by an employer, vehicle-related expenses can make up a significant portion of your work costs. Some of these may be deductible depending on how the vehicle is owned and used.


If you’re an owner-operator, many direct costs of running your truck for business may be relevant to your return. This includes:


  • Fuel costs and top-ups throughout your route.
  • Maintenance and repairs, such as servicing, tyre replacements or mechanical work.
  • Registration and insurance premiums are required where the vehicle is used for work.
  • Depreciation occurs when the truck is classified as a business asset and used primarily for income generation.


For employed drivers, only out-of-pocket vehicle costs that your employer doesn’t reimburse may be relevant. To handle this properly:


  • Keep a vehicle logbook that records distances travelled for work.
  • Note down fuel usage and servicing intervals, especially for longer trips.
  • Distinguish clearly between personal and work use of your vehicle.


A taxation expert can help you decide whether to use actual cost or cents-per-kilometre methods, depending on your situation and the documentation you’ve kept.

Don’t Overlook Small But Frequent Expenses

There are several smaller, regular costs that truck drivers may not immediately think to include, but over the course of a financial year, they can add up significantly. These include items purchased to help you do your job more comfortably and safely.


Truck drivers might be able to claim costs such as:


  • Protective clothing, like high-visibility vests or steel-capped boots, is worn while loading or unloading freight.
  • Sunglasses and sunscreen are especially for daytime drivers exposed to sunlight through the windshield for extended periods.
  • Tools and equipment, including straps, ropes or tarps used to secure loads.
  • Stationery and logbooks, especially if you’re required to maintain written records of your trips or driving hours.


If these items are directly related to your work duties and not reimbursed by your employer, they may be considered when preparing your return.


Make a habit of:


  • Saving receipts for small purchases.
  • Recording why each item was bought and how it relates to your work.
  • Storing documents in a digital format while on the road to reduce the risk of losing them.


Small items may be easy to overlook, but they can be part of your overall picture when reviewing work-related costs with accountants on the Central Coast.

Keep Clear & Consistent Records All Year Round

One of the most helpful things you can do throughout the year is maintain organised and complete records. This can support your claims and help reduce tax time stress.


Accurate records can include:


  • Trip logs showing work-related travel distances and dates.
  • Receipts or invoices for meals, fuel, equipment or supplies.
  • Bank statements that match your expenses to the payments made.
  • Digital photos of paper receipts stored in secure cloud-based folders or apps.


Record-keeping apps and spreadsheets can be helpful when you’re on the road. But the most important thing is consistency. If you’re working with a tax accountant on the Central Coast, they’ll need these records to understand your deductions and avoid any issues during review.


Regular habits like logging fuel stops or scanning receipts weekly can go a long way towards simplifying the process when the end of the financial year rolls around.

Work With Someone Who Understands Your Industry

There’s a lot to consider when it comes to central coast taxation, and while general tax advice is useful, having guidance from someone who understands how the transport and logistics industry operates can be especially valuable.


Some benefits of working with an accountant familiar with truck driving include:


  • Understanding allowance thresholds for long-distance drivers.
  • Knowledge of logbook vs. actual expense methods.
  • Familiarity with ATO expectations around meal deductions and what counts as ‘reasonable’.
  • Advice on quarterly BAS reporting, if you’re registered for GST as an owner-operator.
  • Guidance around business structure, if you’re considering moving from sole trader to company setup.


Getting personalised support can help you feel more confident that your return reflects your work and the costs you’ve incurred

Let’s Make Tax Time Easier

At Blue Orchid Accounting, we work with truck drivers across the Central Coast to support them through every stage of tax time — from keeping records to navigating industry-specific deductions. Whether you’re on the road solo or part of a larger transport team, we understand that your schedule doesn’t always allow time for paperwork.


We’re here to help simplify your Central Coast taxation obligations and provide guidance tailored to the transport industry. Contact us today.

A Close up Of a Purple Orchid on A White Background — Blue Orchid Accounting In Woongarrah, NSW

Blue Orchid Accounting


Since 2011, Blue Orchid Accounting has been providing clients throughout the Central Coast with a comprehensive range of taxation and accounting services. We strive to provide friendly, straightforward advice, helping ensure you’re enabled to make smarter financial decisions and further safeguard your wealth.


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Common risk areas include: Payments A payment may include: Paying a shareholder’s private expenses; Paying personal credit-card balances; Transferring company property below market value; Paying school fees or mortgage expenses; or Providing company assets for private use. Recording a payment as a “shareholder drawing” does not prevent Division 7A from applying. Loans and advances Division 7A may apply where a private company lends money to a shareholder or associate and the amount is not repaid before the company’s lodgment day. The lodgment day is generally the earlier of: The due date for the company’s tax return; and The date the return is actually lodged. This means lodging the company return early may bring forward the deadline for addressing the loan. Forgiven debts Division 7A may also apply where the company forgives a debt owed by a shareholder or associate. A formal debt release is not always required. Risk can arise where the company writes off the amount or acts in a way that suggests it does not intend to collect the debt. How can a company loan avoid becoming a deemed dividend? A shareholder loan can generally avoid an immediate Division 7A dividend if it is placed under a complying written loan agreement before the company’s lodgment day. A complying loan ordinarily requires: A written and legally effective agreement; Interest charged at no less than the annual Division 7A benchmark rate; A maximum term of seven years for an unsecured loan; or A term of up to 25 years for a qualifying loan secured by a registered mortgage over real property. The ATO’s benchmark interest rate for the 2026–27 income year is 8.77%. Because the benchmark rate changes annually, businesses should update their loan calculations each year. Minimum yearly repayments Once a complying Division 7A loan is established, the borrower must generally make a minimum yearly repayment from the following income year. The repayment is calculated using: The opening loan balance; The benchmark interest rate; and The remaining term of the loan. If the borrower pays less than the required amount by 30 June, the shortfall may be treated as an unfranked dividend. Businesses should also avoid temporary or circular repayments. For example, a shareholder should not repay a company loan immediately before 30 June and then borrow the money back shortly afterwards. Division 7A contains rules that may disregard these repayments. What is distributable surplus? A Division 7A dividend is generally limited to the company’s distributable surplus. Distributable surplus is calculated using a statutory formula based broadly on the company’s net assets, subject to specific adjustments. It is not necessarily the same as: Accounting profit; Retained earnings; Cash held by the company; or The balance of the company’s franking account. Market values and the legal character of assets and liabilities may affect the calculation. For this reason, businesses should prepare a documented distributable-surplus calculation rather than relying only on the balance sheet. Division 7A and family trusts Division 7A can also affect trust structures. A common arrangement occurs where a trust distributes income to a private company but does not immediately pay the amount. This is commonly referred to as an unpaid present entitlement, or UPE. In June 2026, the High Court delivered its decision in Commissioner of Taxation v Bendel. The Court found that the UPEs in that particular case were not loans made by the corporate beneficiary to the trustee for the purposes of section 109D. However, Bendel does not mean that all UPEs are automatically outside Division 7A. 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