The business use component of the private vehicle use can be charged as a business expense.1
A logbook3 can be used to calculate the kilometers ran for business use and kilometer rates from IRD can be used to calculate the business costs. For a vehicle than ran 14,000 kilometers, be it petrol, diesel, electric or hybrid, 83 cents can be charged as cost for kilometers listed in a logbook. This is the kilometer rate prescribed by the IRD for 2021-2022 year.2
Actual costs can also be used in charging business costs. Accurate details of vehicle expenses, which includes buying petrol, getting a warranty of fitness, paying for maintenance, insurance and parking needs to be kept if this method is to be used. The log book in this case needs to show kilometers and reasons for business travel and kilometers travelled for personal use, as costs need to be apportioned