Editor: "What happens when two employees, both using log books, use the same car and get different percentage uses?" Well, you basically take an average of the use between the two employees.

Example

XYZ Pty Ltd supplied a car to employee A for the first four months of the 2013 FBT year. During this time, employee A maintained a valid logbook for a continuous 12 week period.

Employee A then left the company and the vehicle was transferred to employee B, another employee of XYZ Pty Ltd.

As employee B's job role was substantially different, she also maintained a valid logbook to cover her use of the vehicle for a continuous period of 12 weeks.

The employee breakdown and business use percentage as per the logbooks was as follows:

Employee Business kms Total kms Business %
A 32,040 36,000 89%
B 3,480 6,000 58%

Based on the above, the business use percentage should be calculated on the total number of business kilometres travelled divided by the total kilometres travelled for the holding period:

i.e., 32,040 + 3,480 = 35,520 divided by 42,000

resulting in a business use percentage of 84.57% (assuming this reflects the full FBT year). The following year would use the 58% provided by employee B's logbook.

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