All employees want to minimise their tax payable. Who wouldn’t?

A major assumption is that claiming deductions on most receipts means minimising the tax payable – but you need to ensure you are following the ATO guidelines.

The ATO states that in claiming deductions, individuals need to ensure they claim only what is related to their profession. With increasing numbers of large work-related deductions being lodged, the ATO are on high alert to false or irrelevant claims – so you need to be careful with what you claim in your tax return.

Regardless of your profession, work-related deductions that you can claim must meet three rules:

  • The money was spent by you and not reimbursed by your employer
  • It is directly related to earning your income
  • You have a record to prove it.

Notably, if the expense was used for both work and private purposes, you can only claim the portion relating directly to your work.

Use the below professions and deductions that can be claimed as a guide:

Flight Attendants

  • Travel expenses – Overnight travel expenses, so long as they’re not reimbursed (this may include meals, accommodation and incidentals)
  • Selfeducation expenses – If your course is directly related to your current job (e.g. First Aid Certification)
  • Clothing expenses – Buying, mending or cleaning uniforms that are unique to your job
  • Grooming expenses – Rehydrating moisturisers and hair conditioners used to combat abnormal drying of skin and hair due to pressurised environment of an aircraft
  • Other workrelated expenses – Luggage and bags used for work-related purposes, visa applications when required to enter a country as part of job.

Teachers

  • Car expenses – Driving between separate jobs on the same day; drive to and from alternative workplace for the same employer on the same day
  • Clothing expenses – Buying, mending or cleaning uniforms that are unique to your job.
  • Selfeducation expenses – If your course is directly related to your current job (e.g. working with children with special needs course)
  • Home Office expenses – A percentage of the running costs of your home office if you have to work from home
  • Other work-related expenses – Excursions, school trips and camps, seminars and conferences, teaching aids, union and professional fees.

Nurse, Midwife and Carer

  • Car expenses – Drive between separate jobs on the same day. Drive to and from alternative workplace for the same employer on the same day
  • Phone and internet expenses –Can be claimed if your employer needs you to use your personal phone for work, but you can only claim the portion that is work-related
  • Clothing expenses – Buying, mending or cleaning uniforms that are unique to your job
  • Selfeducation expenses – If your course is directly related to your current job (e.g wound care course)
  • Other work-related expense – Calculators and electronic organisers, union fees, annual practising certificate fees, technical or professional publications

At the end of the day, you must ensure that the deductions you claim are incurred while performing your job as an employee, and have not already been reimbursed by your employer.

If you’re profession is not included in the list above, and you would like assistance on the deductions you can claim in your tax return, call us on (02) 4732 3844. We will be happy to assist you.