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What happens after 14,000 km?

After 14,000 km, you must use the actual costs method. This involves keeping records of all vehicle expenses (fuel, registration, WOF, maintenance, insurance, depreciation) and calculating the business-use percentage.

Can I use the mileage rate as a self-employed person?

Yes. Self-employed people can use the mileage rate for the first 14,000 km of business travel. For travel beyond this, or if you prefer, you can use the actual costs method.

Does the mileage rate include fuel and maintenance?

Yes. The mileage rate is designed to cover all vehicle running costs including fuel, maintenance, registration, WOF, insurance, and depreciation. You can't claim these separately if you use the mileage rate.

Can I claim mileage for commuting to work?

No. Travel between your home and your regular place of work is considered private travel and is not deductible. You can only claim mileage for business-related travel, such as visiting clients or traveling between job sites.

How do I record mileage for tax purposes?

Keep a logbook or use a mileage tracking app to record the date, purpose, start and end odometer readings, and kilometres for each business trip. You need this documentation to support your claim.

Business Tools/Mileage Calculator

2025/26 IRD Rates · 77¢/km

Mileage Calculator

Calculate your vehicle mileage reimbursement at current IRD rates. Petrol/diesel 77¢/km, electric 95¢/km, motorbike 21¢/km.

Mileage Calculator

IRD 2025/26 two-tier rates

Total km travelled (business + private)

Business km

Vehicle type

Enter your total and business kilometres to calculate.

Rates valid for 2025/26 tax year · Last reviewed August 2025

IRD — Kilometre rates 2025–2026

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Mileage reimbursement in New Zealand

The Inland Revenue sets standard mileage rates that businesses can use to reimburse employees for using their personal vehicle for work purposes, or that self-employed people can use to claim vehicle expenses.

For the 2025/26 income year, the rates are: 77 cents per kilometre for petrol and diesel vehicles, 95 cents per kilometre for electric vehicles, and 21 cents per kilometre for motorbikes.

The mileage rate method applies to the first 14,000 kilometres per year. If you drive more than 14,000 km for business, you must use the actual costs method (keeping records of fuel, maintenance, depreciation, etc.).

This calculator applies the correct rate based on your vehicle type and caps the calculation at 14,000 km. If you exceed the cap, it will alert you to use the actual costs method instead.

Mileage Calculator frequently asked questions

For the 2025/26 income year, the IRD mileage rates are: 77 cents/km for petrol and diesel vehicles, 95 cents/km for electric vehicles, and 21 cents/km for motorbikes. These rates apply to the first 14,000 km.