MileagePilot
IRD estimate

New Zealand Kilometre Rate Calculator (IRD)

Calculate your NZ business vehicle expense using official IRD kilometre rates. Choose petrol, diesel, hybrid, or electric with first-14,000 km and post-threshold rate tiers.

New Zealand Kilometre Rate Calculator (IRD)

Calculate your NZ business vehicle expense using official IRD kilometre rates. Choose petrol, diesel, hybrid, or electric with first-14,000 km and post-threshold rate tiers.

Country

Tax year

Purpose

Vehicle

Distance

Total annual vehicle km

IRD tiers are based on total km driven in the year, not just business km.

Unit

Estimated amount

NZ$117.00

Applied to 100.00 km

Tier breakdown

First 14,000 km

100.00 km × NZ$1.17/km = NZ$117.00

Source: IRD kilometre rates 2024-25

Short answer

This calculator applies the official IRD kilometre rates. When you enter both your business km and total annual vehicle km, it automatically splits the kilometres across the tier 1 (first 14,000 km) and tier 2 thresholds based on total distance, then apportions them by your business-use ratio. Enter only business km if you have already calculated the tier split yourself.

At a glance

  • The 14,000 km threshold is based on TOTAL vehicle distance in the year, not just business km
  • Enter both business km and total annual km to let the calculator split across tiers automatically
  • Choose the correct vehicle type: petrol, diesel, hybrid, or electric
  • Keep a logbook with odometer readings to substantiate your claim

Official references

IRD kilometre rates

Official IRD guidance on kilometre rates for business use

Common questions

How do I use the tier 1 and tier 2 rates correctly?

The tier 1 rate applies to the first 14,000 km of total vehicle travel in the year, and tier 2 applies to km beyond that. Enter your business km and total annual vehicle km — the calculator splits across tiers automatically based on your total distance, then apportions by your business-use ratio. For example, with 20,000 km total and 12,000 business km, the calculator applies tier 1 to the business portion of the first 14,000 km and tier 2 to the remainder.

Which vehicle type should I choose?

Petrol for standard gasoline vehicles, diesel for diesel-engine cars, hybrid for petrol-electric hybrids, and electric for fully battery-electric vehicles. The IRD publishes separate rates for each type because running costs differ significantly.

Related links

Use these links to continue through the official rate and template workflow.