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How to use the logbook feature as a sole trader

Learn how sole traders can use the TaxTank logbook to track car use and claim vehicle expenses.

Updated over a month ago

If you’re a sole trader and use your car for business, keeping a logbook is the best way to maximise your vehicle tax deductions — including fuel, insurance, interest on loans, and even depreciation.

Sole Tank makes it easy to record your trips and automatically apply the right business-use percentage across all your vehicle expenses.

Step 1 – Choose the Logbook Method

Go to the Logbook tab and select Logbook Results. This tells the system you want to claim your car using the logbook method, not the cents-per-kilometre method.

Step 2 – Set a Temporary Claim Percentage

While you build your logbook, you can set an estimated business-use percentage. This gives you a temporary claim until your logbook is complete.

  1. Use the slider to set your estimated claim (anywhere from 0% to 100%).

  2. Click Update to save.

You can update this at any time, and we’ll replace it with your actual percentage once your logbook is done.

Step 3 – Start Logging Trips

Click Add New Trip to begin. For each trip, fill in the following details:

  • Description: A short note like “Client meeting” or “Office supplies run”

  • Purpose: Choose Business or Personal

  • Date: When the trip occurred

  • Starting Kms: For your first entry, use the car’s odometer reading at the start of the logbook

  • Ending Kms: Odometer reading at the end of the trip

Continue logging each business and personal trip over a 12-week period.

Once Your Logbook Is Complete

When you’ve recorded at least 12 consecutive weeks of trips, untick the “I want to set the value manually” box. We’ll automatically calculate the correct percentage based on your actual usage — and apply it across:

  • All future vehicle expenses

  • Any existing expenses already allocated for the financial year

💡 Tip for Sole Traders:

A valid logbook lasts for 5 years as long as your usage stays consistent, so this is a great way to lock in solid deductions year after year.

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