ATO’s Focus On Work-Related Expenses

22nd March 2018

This year, the ATO is paying close attention to what people are claiming as ‘other’ work-related expense deductions, so it’s important when taxpayers claim these expenses that they have records to show:

  • They spent the money themselves and were not reimbursed;
  • The expense was directly related to earning their income; and
  • They have a record to prove it.

If the expense is for work and private use, the taxpayer can only claim a deduction for the work-related portion.

Importantly, taxpayers are not automatically entitled to claim standard deductions, but need to be able to show how they worked out their claims.