Work related deductions


Work Related Car Expenses

 From the 2015-16 income year, there will be changes to the methods of claiming work related car expenses:

-       The 12% cost and one third actual expense methods have been removed;

-       The cents per kilometre method will be changed by replacing the current three rates with a single rate of 66c per kilometre, for all motor vehicles.

The logbook method will remain unchanged.

Work- related deductions

The ATO have increased their audit activity in relation to personal deductions for employment related expenditure.
Please ensure that:
The expense item is actually deductible & directly relates to your employment income
You have actually paid for the item and have a tax invoice or diary entry to substantiate the expense
You have excluded the private/non-deductible portion

Home Office Expenses

Home office expenses may be deductible where you carry on business or employment activities at home.

Power, heating and depreciation can be claimed at a flat rate based on ATO guidelines.
A portion of interest, rent and insurances are not deductible unless you are carrying on a business from home and the area is separate and distinguishable from private living areas.
If an office is provided by your employer, then working from home as a convenient place to do part of the work may not be sufficient to claim home office expenses.

The ATO have identified these claims as a risk area and are subjecting them to increased audit activity.


If you are contemplating AIRBNB, please be aware of the land tax, capital gains tax and taxable income implications of renting a room in your house.

If you an UBER driver, please note that all income must be declared and you will need to be registered for GST.





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