Under the Income Tax Assessment Act 1997, taxpayers claiming work, car or travel expenses must keep travel and expense substantiation records for at least 5 years. Clock starts: due date for the tax return.
Written evidence and travel records that substantiate deductions for work, car and travel expenses.
7 provisions of the Income Tax Assessment Act 1997 apply to these records. Each one is set out below.
The terms
s 900-25(1)–(3)Income Tax Assessment Act 1997
5 years
The 5 years start on the due day for lodging your income tax return for the income year. If you lodge your return later, the 5 years start on the day you lodge it.
s 900-75(1)–(2)Income Tax Assessment Act 1997
5 years
The 5 years start on the due day for lodging your income tax return for the income year. If you lodge your return later, the 5 years start on the day you lodge it.
s 900-90(1)–(3)Income Tax Assessment Act 1997
5 years
The 5 years start on the due day for lodging your income tax return for the income year. If you lodge your return later, the 5 years start on the day you lodge it. However, the retention period is extended if, when the 5 years end, you are involved in a dispute with the Commissioner that relates to the expense.
s 900-20Income Tax Assessment Act 1997
5 years
Start not stated
s 900-85Income Tax Assessment Act 1997
5 years
Start not stated
s 900-165Income Tax Assessment Act 1997
5 years
Whenever you are required to retain records of an expense under this Division or Division 28
s 900-170Income Tax Assessment Act 1997
The extension lasts until the dispute is resolved.
if one of the following types of dispute relating to the expense is unresolved when the 5 years end
Conditions and exceptions Caution
If the expense is in dispute with the Commissioner when the 5 years ends, the records must be kept until the dispute is resolved (s 900-170).
From the provisions:
- Applies once the taxpayer has the material required by section 900-15 or 900-20
- The retention period is extended if, at the end of the 5 years, the taxpayer is involved in a dispute with the Commissioner relating to the expense (see section 900-170)
- Retention period may be extended under section 900-170 if a dispute with the Commissioner is ongoing when the 5 years end
- Retention period extended if involved in a dispute with the Commissioner relating to the expense when the 5 years end (see s 900-170)
- Expense is for travel involving being away from ordinary residence for 6 or more nights in a row
- Members of international flight crews may be exempt for losses or outgoings covered by travel allowances (s 900-65)
- An objection, review/appeal arising from an objection, or a request for amendment of an assessment must be unresolved when the base 5-year period ends
The law
Income Tax Assessment Act 1997, s 900-25(1)–(3) · Retaining the written evidence and travel recordsOfficial text ↗
Once you have the material required by section 900‑15 or 900‑20, you must retain it for 5 years.
Text as at 27 August 2026
Income Tax Assessment Act 1997, s 900-75(1)–(2) · Retaining the written evidence and odometer recordsOfficial text ↗
Once you have the material required by this Subdivision, you must retain it for 5 years. There is no need to lodge it with your income tax return.
Text as at 27 August 2026
Income Tax Assessment Act 1997, s 900-90(1)–(3) · Retaining the written evidence and travel recordsOfficial text ↗
Once you have the material required by section 900‑80 or 900‑85, you must retain it for 5 years.
Text as at 27 August 2026
Income Tax Assessment Act 1997, s 900-20 · Keeping travel recordsOfficial text ↗
You need to keep travel records if your expense is for travel that involves you being away from your ordinary residence for 6 or more nights in a row.
Text as at 27 August 2026
Income Tax Assessment Act 1997, s 900-85 · Keeping travel recordsOfficial text ↗
You need to keep travel records if your expense is for travel that involves you being away from your ordinary residence for 6 or more nights in a row.
Text as at 27 August 2026
Income Tax Assessment Act 1997, s 900-165 · The retention periodOfficial text ↗
Whenever you are required to retain records of an expense under this Division or Division 28, you need to retain the records for 5 years.
Text as at 27 August 2026
Income Tax Assessment Act 1997, s 900-170 · Extending the retention period if an expense is disputedOfficial text ↗
The retention period is automatically extended if one of the following types of dispute relating to the expense is unresolved when the 5 years end:
(a) an objection;
(b) a review or appeal arising from an objection;
(c) a request for amendment of an assessment.
The extension lasts until the dispute is resolved.
Text as at 27 August 2026
Other terms that apply to these records
This page covers travel and expense substantiation records on their own. The same file is often caught by other laws as well, with different periods and start dates. See why a legal term is not a schedule.
ScheduleOne
3 records. 3 sets of rules. They don't agree.
One business file can hold all of these at once.
Travel and expense substantiation records5yIncome Tax Assessment Act 1997, s 900-25(1)–(3), s 900-75(1)–(2), s 900-90(1)–(3), s 900-20, s 900-85, s 900-165, s 900-170 · due date for the tax return
Business tax records5yIncome Tax Assessment Act 1936, s 262A(1), (4) · later of preparation or the transaction
Car log books and odometer records5yIncome Tax Assessment Act 1997, s 28-150(1)–(3), s 28-155(2), s 28-155(3), s 28-100(5), s 28-130(4) · due date for the tax return
Now do that for every record your organisation holds, and redo it when the law changes. ScheduleOne has done that work, and keeps it current.
See ScheduleOne →