What You Can and Can't Claim at Tax Time

A clear breakdown of legitimate deductions vs common mistakes. Claim everything you're entitled to — and avoid ATO red flags.

The Three Golden Rules

Before claiming any deduction, it must pass these three tests:

You must have spent the money yourself — and not been reimbursed by your employer
It must be directly related to earning your income — not a private expense
You must have a record to prove it — a receipt, bank statement, or invoice

✅ What You CAN Claim

Work-related car expenses: Travel between two workplaces, to clients, or to alternate work locations (not home to work)
Work uniforms and protective clothing: Occupation-specific clothing, compulsory uniforms, and protective gear. Laundry costs for these items are also claimable.
Self-education: Courses, conferences, and study materials directly related to your current job
Home office expenses: If you work from home, claim via the fixed rate (67c/hour) or actual cost method
Phone and internet: The work-related portion of your bills
Tools and equipment: Items under $300 claimed immediately; items over $300 depreciated
Union fees and professional subscriptions: Fees for unions, professional bodies, and trade journals
Income protection insurance: Premiums are fully deductible
Tax agent fees: The cost of having your return prepared by a professional
Donations of $2+: To registered Deductible Gift Recipients

❌ What You CANNOT Claim

Travel from home to work: This is considered a private expense (with limited exceptions)
Everyday clothing: Even if you wear it to work, conventional clothing is not deductible
Childcare costs: Not deductible, even if required to enable you to work
Private health insurance: Not a deduction (but you may get a tax offset)
Gym memberships: Unless your employer requires a certain fitness level and you can prove it
Meals during normal work hours: Unless you're travelling overnight for work
Personal grooming: Haircuts, makeup, and personal care are not deductible
Fines and penalties: Speeding fines, parking tickets — even if incurred while working

Common Mistakes to Avoid

Claiming the entire cost of a phone or internet plan when only part is work-related
Claiming expenses your employer has already reimbursed
Not keeping receipts for purchases over $300
Claiming self-education that isn't related to your current job
Rounding up or estimating deductions without records

Unsure What You Can Claim?

Don't risk missing deductions or making incorrect claims. Our experienced team will review your situation and ensure your return is accurate and maximised.