Whether tax time is around the corner or still months and months away, there is one thing you can do now to reduce your tax bill when it comes time to submit all your figures for the year – keep those receipts!
Most business owners know that expenses such as a new laptop or a phone bill can be claimed at tax time with MyGov, but many also wonder “what can I claim on tax?” outside of the usual suspects.
Here are 10 things you can claim on tax in Australia!*
How many loads of laundry did you do in the past year?
One unexpected option for claiming at tax time is to account for all the laundry you did in order to remain clean and presentable in the workplace. This includes dry cleaning, but also regular washes and dries at home.
Modern offices these days offer more than just a giant tub of instant coffee to keep workers going. Some include entertainment areas with pool tables, board games, and even gaming consoles to offer workers a way to blow off steam and relax during breaks.
If you invested in any form of employee entertainment, this could be tax deductible.
Did your company make any donations during the year?
Whether it was for a partnership in some way with a non-profit, or a local charity fun run, you can claim this on your tax bill.
Does your job take you outdoors? Sunscreen is an example of ATO tax deductions by occupation because it completely relies on whether or not you must work outdoors (it doesn’t count if you only choose to work outside).
Wearing sunscreen – even when it’s not sunny – is an important part of spending time outside, especially here in Australia. If that time spent outside is on the clock, then sunscreen is tax claimable.
5. Phone cases.
If you use your phone for work calls, emails, apps, and messages, then you can clearly claim those monthly bills on your tax bill. But don’t forget to add the cost of a case to your deductibles.
Whether you work at home or in an office and want to liven up the space for a little inspiration or want to decorate the office with eye-catching designs, art is yet another cost that you can claim on your taxes. You can claim a 100% tax deduction for your small business on all artwork purchases under $20,000. Unfortunately this deduction ends this financial year so get shopping and make sure your art is hung before the 30th of June!
7. Seminars and courses.
No matter your industry, there are probably countless courses, seminars, webinars, and other opportunities for learning new skills or updating yourself on industry standards. So long as the course helps you advance in your career or skills (or that of your employees), it counts as self-education expenses, and you can claim it.
If you pay for someone to come to your office or workplace to clean, this is a work-related cost and can, therefore, be claimed. This also includes the cost of cleaning tools (such as a vacuum cleaner), so be sure to keep those receipts as well.
Handbags and manbags hold practically everything you could possibly need to get through the day. This includes everything from your tablet to your work documents to your USBs. So remember that a handbag can be claimed just as a laptop carry bag or briefcase could be.
Whether it’s the New York Times or your local newspaper, if you use your subscriptions for work, you may also be able to claim them on your tax.
When you’re using the ASIC tax calculator to find a rough estimate of your tax owed, remember that this tool (and others like it) don’t usually include these deductions so your final bill might not be as much as you expect!
And of course, when it comes time to do your online tax return in Australia, you can make a claim for all your usual business expenses, including any digital marketing you’ve done throughout the year. This is a good thing to keep in mind, when you’re working out return on investment for your marketing activity. Get the details in our article How to claim back on your marketing expenses.
*We endeavour to provide accurate material for Australian businesses consistent with Australian laws; however, this material is for reference only and is not designed to be, nor should it be regarded as professional advice.