Free tool · off-road diesel · ATO rate dated
Fuel Tax Credit Calculator for Machinery
Off-road business use of diesel in plant and machinery earns a fuel tax credit of 53.7 c/L for fuel acquired from , the ATO’s current rate (checked ). Enter a year of litres, or pick a machine and its hours, to estimate what that is worth.
Estimate your credit
Off-road business use of liquid fuel such as diesel. Every field is editable.
Default for the Kubota U17-3 (11.3 kW rated): the US EPA’s load factor and fuel use for excavators. Your own figure is better.
$376 a year, estimated
700 L × 53.7 c/L = $375.90
About $1.07 an engine hour
Rate: 53.7 c/L for fuel acquired from , checked . Check the ATO rate. General information, not tax advice.
How the estimate works
The credit is the litres you use in the business off public roads, multiplied by the ATO rate for the date you bought them. If you know your litres from fuel dockets or invoices, use them: that is what you claim on.
If you only record engine hours, the calculator uses the ATO’s average hourly fuel consumption measure: hours multiplied by the machine’s average litres per hour. Your own figure is best, from a typical sample period or the manufacturer’s published rate. Until you enter one, the default comes from the machine’s rated engine power on our spec plate, multiplied by the US Environmental Protection Agency’s published load factor and fuel use for that type of machine.
Excavators, wheel loaders, dozers, graders, rollers, telehandlers and off-road dump trucks take the EPA’s high-load factor; skid steers, backhoes and boom lifts take its low-load factor. Every default is editable, and the full method and sources are on our methodology page.
Who can claim
- Your business is registered for GST when it buys the fuel, and for fuel tax credits when it claims.
- The fuel is used in your business. Private use does not count.
- The machine works off public roads, such as on a building site, quarry, farm or private road.
- Light vehicles of 4.5 tonnes GVM or less travelling on public roads earn no credit.
- Heavy vehicles travelling on public roads earn a lower rate, because the road user charge comes off it. This calculator covers off-road use only, so see the ATO rates for road use.
Hire and fuel
On a dry hire you usually buy the diesel, so any credit is yours to claim. If the hire company supplies the fuel and charges you for it, ask them first: a business that supplies fuel can claim the credit itself, and the ATO does not allow a credit to be claimed twice along the chain.
When the rate changes
The ATO indexes the rate each February and August, and it can change between those dates. Fuel is claimed at the rate on the day you bought it, so a year of fuel can span more than one rate. If your claims are small, the ATO’s simplified methods let you use the rate on the last day of each BAS period instead, and work out litres from what you spent. Use the ATO’s fuel tax credit calculator or your BAS software for the claim itself.
General information, not tax advice. Check your situation with your accountant or the ATO.