The shift to working from home during the COVID-19 pandemic has led many taxpayers to question the extent to which they can claim deductions for home office expenses. One area of confusion involves occupancy expenses, such as rent, mortgage interest, and home insurance, particularly when a specific area of the home is used exclusively for…
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On 15 July 2024, the Australian Taxation Office (ATO) reminded rental property owners to correctly classify their deductions for repairs and improvements in their income tax returns. Proper classification is essential for compliance with tax regulations and to maximize tax benefits. Here’s a comprehensive guide to help you understand the differences between repairs, maintenance, capital…
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As tax time approaches, the Australian Taxation Office (ATO) has highlighted three common errors that taxpayers should avoid. Here’s what you need to know to ensure a smooth and compliant tax return process. Incorrect Work-Related Expenses The ATO is focusing on taxpayers who claim incorrect work-related expenses. Last year, the rules for working-from-home deductions changed.…
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Whether you own a holiday home solely for personal use or rent it out to others, there are crucial tax considerations to keep in mind.
As a real estate industry employee, it’s crucial to accurately report your income and allowable deductions on your tax return. Here’s a breakdown of what you should and shouldn’t include: Income Include all income received during the income year, encompassing: Note: Exclude reimbursements from your income. Your income statement or payment summary will detail your…
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The occupation and industry guides serve as valuable aids when completing your tax return. Utilize these guides to: To qualify for deductions on work-related expenses, you need to adhere to the 3 fundamental rules: What to Include and Exclude It’s essential to report all income received as a doctor, specialist, or medical professional within the…
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Self-education includes courses undertaken at an educational institution (whether leading to a formal qualification or not), attendance at work-related seminars or conferences, self-paced learning and study tours (overseas or within Australia). For self-education expenses incurred before 1 July 2022, you generally can’t claim the first $250 of expenses. TR98/9 details the ATO’s views on the…
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