Can I claim vehicle costs that my employer reimbursed?

Arsen Accounting Services · Prepared October 29, 2026

Employees and commission earners: 10 tax questions · Browse the 100-article collection

Reconcile the employer's payments

List each vehicle allowance or reimbursement beside the expense it relates to. Identify whether payments were based on kilometres, actual receipts or a flat amount, and how the employer reported them. Keep the policy and pay records. The preparer needs to understand the arrangement before deciding whether an expense remains claimable or a payment has already covered it.

Use one consistent travel record

A mileage log should identify the date, destination, purpose and distance of relevant trips. Reconcile it with the claims submitted to the employer rather than maintaining unrelated totals. Mark commuting and personal trips separately. If the employer changed the reimbursement arrangement partway through the year, preserve the dates so the calculations can follow the change.

What to gather before the review

• Mileage log and total annual kilometres
• Employer allowance and reimbursement policy
• Pay records, expense claims and vehicle receipts

Can I deduct a reimbursed vehicle bill again?

You cannot simply claim the full cost while ignoring an employer reimbursement. The payment's treatment and the applicable expense rules must be reviewed together to avoid a duplicated benefit.

Your next step

Bring your employer’s mileage policy, reimbursement statements and T4 alongside your travel log.