Western Australian Consolidated Regulations Western Australian Consolidated Regulations (1) To use the
averaging method to calculate the number of business kilometres travelled by a
vehicle, an employer must first establish the BK percentage for the vehicle in
accordance with subregulation (2).
(2) To establish the
BK percentage, the employer must —
(a)
select a recording period of at least 12 consecutive weeks under
regulation 36;
(b)
determine the number of business kilometres travelled by the vehicle during
the recording period using the records of the odometer readings made during
the recording period; and
(c)
calculate the percentage of the kilometres travelled during the recording
period that were business kilometres in accordance with the following
formula —
where —
BK is the number of
business kilometres travelled by the vehicle in the recording period; and
TK is the total number
of kilometres travelled by the vehicle in the recording period.
(3) When the BK
percentage has been established, the average number of business kilometres
travelled by the vehicle during a return period is calculated using the
following formula —
where —
Average BK is the
average number of business kilometres travelled by the vehicle in the
recording period;
BK% is the BK
percentage established under subregulation (2); and
TK is the total number
of kilometres travelled by the vehicle in the return period based on records
of the vehicle’s odometer readings made by the employer at the beginning
and end of the return period.
(4) The employer may
continue to use the BK percentage established for a vehicle for the purposes
of the averaging method for 5 years from the end of a continuous
recording period, unless within those 5 years —
(a) the
vehicle is not used for business journeys during a period of 12 consecutive
weeks; or
(b) the
Commissioner directs the employer in writing to use the continuous recording
method.
