Tax Time

Taxes

Yikes, the end of the financial year is fast approaching.

We all have an opportunity to be claiming more than what we use to this tax time as we all have worked a large portion of this financial year from home.

Here are some things you can claim to reduce your taxable income for 2022:

  • Internet access charges.
  • Printer and printer cartridges.
  • Stationery.
  • The cost of heating, cooling and lighting your home office, over and above the amount you would ordinarily pay if you did not work from home.
  • Any repairs to your home office furniture and fittings.

You can also claim Covid-19 test expenses if they were work related (for example if you were required to take a RAT prior to starting a work shift and this was an expense to you).

You also may be able to claim Personal Protective Equipment if you were out of pocket for these items and were not reimbursed by your employer.

PPE may include items such as:

  • hardhats and helmets
  • safety glasses or goggles
  • earplugs
  • gloves
  • face masks or face shields
  • sanitiser
  • anti-bacterial spray.

The PPE you can claim as a deduction will depend on the nature of your employment duties.

Ensure you have proof of your expenses when making these tax-deductible claims.

TIP: I recommend you go through your bank statements over the past 12 months with a highlighter to find past transactions that are work related.

Other things you may also be able to claim:

  • Courses – if this is work related and benefits you in your occupation.
  • Subscriptions – If this is work related and benefits you in your occupation for research and educational purposes. Seriously this can be a BIG one, I know myself attending industry events, personal development days to get CPD points is mandatory in my industry – you may be able to thousands of dollars!
  • Union Fees
  • Association Fees
  • Overtime meals
  • Gifts and Donations
  • Dry Cleaning / Laundry costs for uniforms related to your employment

You may also be able to claim investment income tax deductions if you’ve received:

  • Interest payments on your savings
  • Dividends from your investments in shares
  • Rental payments from an investment property
  • Another type of investment income

If you’ve received any of these, you could be entitled to claim for costs related to this income, such as interest charged on money borrowed to buy stocks or rental properties. If you have invested in property, you can claim the cost of maintenance for the investment.

Of course, being a financial adviser, I always suggest making additional concessional contributions – you can contribute up to $27,500.00 toward your super in 2022, so if you have already made additional contributions, or considering it, this is the ideal time to get this done and a nifty way to reduce your tax too. Please note this is not advice.

Do you have income protection? This is also a tax deduction so be sure to take your policy schedule to your accountant to ensure you claim this too.

Disclaimer: This article is general in nature and has not considered your personal circumstances. We recommend you seek financial advice from a licensed adviser.