2026 TAX UPDATES
Who can claim the work-from-home rate?
You're eligible to claim if you worked from home during the financial year and incurred expenses directly related to that work. This includes employees working from home, self-employed individuals, and business owners. The key requirement is that your home office expenses must be directly connected to earning your income.
Who can claim car travel deductions?
You can claim a deduction for car travel if you drove for work-related purposes and the expenses were directly connected to earning your income. This includes employees who travel between multiple work locations, self-employed professionals, business owners, and contractors. However, you cannot claim deductions for travel between your home and your regular workplace, as this is considered private travel.
What is the $1,000 without receipts deduction?
The Australian Taxation Office (ATO) permits eligible taxpayers to claim up to $1,000 in work-related expenses without substantiating documentation, provided certain conditions are met. This is designed to reduce the administrative burden for taxpayers with smaller expense claims and is particularly useful for those who may have lost receipts or have minor expenses that are difficult to document individually.
What is depreciation?
Depreciation is a tax deduction that allows you to spread the cost of an asset over its useful life, rather than claiming the entire expense in the year of purchase. For electronic items costing more than $300, the ATO requires you to claim depreciation rather than an immediate deduction.
