30 June is just around the corner
Is there a pile of work-related receipts sitting on your desk? Have you been too busy to make a much-needed work related purchase? Is it time to renew a work-related magazine or journal?
With 30 June just around the corner it’s time to start thinking about your receipts, purchases and subscriptions as part of your tax return.
Tax return time can be a daunting time for many. You may have a high pile of receipts staring at you that you need to sort through…our best advice is to get onto it as soon as possible, firstly because there may be lots of items in there that will reduce your taxable income and secondly they may be starting to fade!
It’s time…time to stop procrastinating and take action to get ready for your tax return. It won’t take long if you set your mind to it and we’re hoping some of our simple tips will help motivate you and assist you get the job done quicker.
Our friends at the Australian Taxation Office have listed three golden rules to remember when claiming expenses:
- The money must have been spent for work (not a private expense).
- If it is for a mix of business and private use, only claim the portion that is related to your business.
- You must have records to prove it.
If you’re wondering what you might be able to use as a tax deduction take a look at our advice list below and get cracking on your tax return today.
New Equipment— what new equipment have you purchased to undertake your work? Laptop, tablet, phone, even a laptop case or phone cover…grab those receipts as these items can all be claimed. Do you need a new laptop or executive work bag? You still have time to make that purchase and claim it as part of this financial year. And our hottest tip is to visit local handbag designer Sash & Belle. Our office loves these local executive bags which can fit a laptop, tablet, etc.
Phone and internet—if you use your own phone or internet for work purposes, you may be able to claim a deduction if you paid for these costs and have records to support your claims. If you use your phone or internet for both work and private use, you will need to work out the percentage that reasonably relates to your work use.
Work seminars and conferences—have you attended a conference, training seminar or event related to your work? You can claim deductions you incur when travelling for business, for example: airfares, train fares, bus fares and taxi fares.
Magazines and Journals—do you subscribe to work-related magazines and journals? Remember you can claim this as an expense.
Study—if you’re studying subjects related to your current paid employment, remember that this can be a tax deduction.
Memberships—are you part of a membership body? If you pay work-related membership fees you can claim these fees and help minimise your tax.
If you want more information or advice feel free to contact the Bookssorted team. There is also more useful information on the ATO website, in particular the pages on working as a contractor.