Home Office and Other Deductions

Individual taxpayers that work from home may be entitled to claim a deduction for home office expenses. This can include a computer, phone or other electronic devices you are required to use for work purposes, and home office running costs.

Home office running costs can be calculated using either of the following two methods;

1. Estimated number of hours worked from home during the year at a rate of $0.45 per hour

2. Actual expenses of Gas & Power based on the dedicated portion of the house used for work related activities

Please note, an employee generally can't claim a deduction for occupancy expenses, including rent, mortgage interest, council rates and house insurance premiums.

Other expenses incurred that may be deductible by an individual tax-payer include;

- Private Motor Vehicle Travel (the number of kilometres travelled for work-purposes, aside from travel from your home to the primary work-place)

- Parking

- Tolls

- Travel expenses

- Uniform/Dry Cleaning Expenses

- Union fees

- Subscriptions

- Costs of necessary tools and equipment to complete your job

- Donations

- Income Protection Premiums (provided they are paid for personally and not via your super fund)

For further information please contact your RCB Advisors team member.

Sources:

Australia Taxation Office (https://www.ato.gov.au/Individuals/Income-and-deductions/Deductions-you-can-claim/Home-office-expenses/)