Section DE 4 — Income Tax Act 2007: Default method for calculating proportion of business use

DE 4 Default method for calculating proportion of business use When this section applies (1) This section applies when— (a) a person has not maintained actual records to show the proportion of business use of a motor vehicle; or (b) a period is not a term to which a proportion of business use of a motor vehicle established by a logbook applies; or (c) a person cannot use the mileage rate method. Amount of deduction (2) The deduction under section DE 2 for expenditure or loss incurred is limited to the lesser of— (a) the proportion of actual business use of the vehicle; and (b) 25% of the total use of the vehicle. Defined in this Act: amount , business use , deduction , motor vehicle , Compare: 2004 No 35 s DE 4