Three tax tips to know before lodging your return
Do you ever work from home? Or use your home internet or personal phone for work purposes? Perhaps you’ve been doing some extra work as an Uber driver or renting a room for some extra cash? What about doing study at home to help with your job?
Did you know all of these could lead to legitimate deductions on your tax return? Here’s a quick breakdown to help.
Working from home? Make sure you claim everything you can!
There are many variations on how you work from home, and tax deductions can depend on whether you have a dedicated workspace or not, or if you’re actually running a business entirely from home. Did you know you may be able to claim gas and electricity, work related phone costs and depreciation on equipment like your desk, computer, carpet and even light fittings! Depending on the number of hours you do, filling out a declaration outlining your average number of hours per week will support your tax return. Check out these pages on the tax office’s website for more info.
Do you get another income aside from your primary job? Deductions may be claimed on that too!
Did you know you may be able to claim deductions on jobs you do aside from your main one? This includes secondary incomes like Uber, Mad Paws and Airbnb to name a few. Make sure you reduce the amount of tax you need to pay on your extra earnings by recording all of the expenses you incur, as there are a number of deductions you can claim. Here’s a video explaining incomes like Uber – called the Shared Economy.
Have you done any “after work” study, to help with your job?
If you’ve spent money on a course that relates to your current job, and are studying after hours, you could be eligible to claim some of your expenses as a deduction. You may be doing it for your own knowledge and development but why not claim any deductions you can? If you’re unsure if it will be eligible, the ATO has a great online service tool where you can ask someone via live chat, so just go to their website and ask today!
We agree, doing your tax return is never fun, but making sure you claim all of the deductions you can, is at least one way of making it a little more rewarding! And remember, if in doubt, always check with the ATO or a tax agent first, it saves a lot of pain!