MileagePilot

IRD rate guide

IRD Kilometre Rate 2024-25

The 2024-25 IRD kilometre rates for business vehicles. Compare with the current 2025-26 rates.

This 2024-25 IRD kilometre rate guide covers petrol, diesel, hybrid, and electric vehicle rates for New Zealand business use. The key distinction is the rate split at 14,000 km of total travel — tier 1 rates cover fixed and running costs, while tier 2 rates cover running costs only.

At a glance

Country: New Zealand

Tax year: 2024-25

Scenarios covered: 4

Primary rates

Business / Petrol: 117 cents per kilometre -> 37 cents per kilometre

Business / Diesel: 126 cents per kilometre -> 35 cents per kilometre

Business / Hybrid: 86 cents per kilometre -> 21 cents per kilometre

2024-25 IRD mileage rates

Business / Petrol

First 14,000 km (up to 14,000 km) · 117 cents per kilometre; After 14,000 km · 37 cents per kilometre

Source: IRD kilometre rates 2024-25

Business / Diesel

First 14,000 km (up to 14,000 km) · 126 cents per kilometre; After 14,000 km · 35 cents per kilometre

Source: IRD kilometre rates 2024-25

Business / Hybrid

First 14,000 km (up to 14,000 km) · 86 cents per kilometre; After 14,000 km · 21 cents per kilometre

Source: IRD kilometre rates 2024-25

Business / Electric

First 14,000 km (up to 14,000 km) · 108 cents per kilometre; After 14,000 km · 19 cents per kilometre

Source: IRD kilometre rates 2024-25

Use this rate for your next step

- Choose the correct vehicle type (petrol, diesel, hybrid, or electric) before quoting the rate.

- Apply tier 1 rates to the first 14,000 km of total vehicle travel, then tier 2 for the remainder.

- Multiply by your business-use percentage from a logbook to calculate the deductible amount.

Practical notes

IRD kilometre rates are reviewed annually and published in the Tax Information Bulletin.

The 14,000 km threshold applies to total vehicle distance, not just business kilometres.

Rate guide FAQ

What does the 2024-25 rate cover on this page?

This page covers the Business / Petrol, Business / Diesel, Business / Hybrid, Business / Electric for New Zealand, based on the IRD source linked on this page.

Should I use the rate guide or the calculator?

Use the rate guide when you want the published reference rate and source context. Use the calculator when you want a total estimate based on distance, year, and scenario selection.

What records should I keep with the 2024-25 rate?

Keep trip date, destination, purpose, and distance records, plus any policy or filing notes that explain why this rate applies to the claim.

Is this the latest available year?

This is currently the only published year in the dataset for this country flow, so there is no prior-year comparison block yet.