ATO warning on deductions

July 2017

The ATO has released a guide called Don't be a dummy with your deductions which is intended to serve as a warning to taxpayers as the 2017 income year comes to an end.

The ATO has released a guide called Don't be a dummy with your deductions which is intended to serve as a warning to individual taxpayers as the 2017 income year comes to an end.

The guide sets out 11 items that are often claimed but probably shouldn't be as follows:

• Travel between home and work;
• Car expenses for transporting bulky tools and equipment unless you were required to work away from home overnight;
• Salary packaged car expenses;
• Meal expenses  for travel, unless you were required to work away from home overnight
• Travel that includes a private component;
• Everyday clothing;
• a flat rate for cleaning eligible work clothes without being able to show how the cost is calculated;
• Self-education costs without a direct connection to the current employment;
• Private use of phone and internet expenses; and
• Immediate write of tools and equipment that cost more than $300

For more information, please contact us on 02 9957 4033.