Tax time can feel like a mystery box — you know there are deductions in there somewhere, but working out what applies to you can feel overwhelming. The truth is, claiming deductions doesn’t have to be complicated. The key is to focus on what’s genuine, work-related, and well-documented.
Here’s a quick guide to some of the most common everyday deductions you might be able to claim on your individual tax return.
1. Work-Related Clothing
If your job requires a uniform with a company logo, protective gear like steel-capped boots or high-vis vests, or specific industry-standard attire (think chefs, nurses, tradies) — you can generally claim the cost of buying and cleaning those items.
What you can’t claim: conventional clothing, even if you only wear it to work. That means no suits, business shirts, or activewear unless it meets strict criteria.
2. Vehicle and Travel Costs
Do you drive as part of your job? Travel between job sites or to visit clients? You might be able to claim those kilometres. You can use the cents-per-kilometre method (up to 5,000km) or the logbook method.
But remember: your daily commute to and from work is considered private travel and isn’t deductible. And if you’re using the logbook method, make sure it’s valid and current.
3. Home Office Expenses
If you work from home regularly, you can claim a portion of your home running costs — like electricity, internet, and phone. There are a few methods to calculate this (including a fixed rate per hour or actual expenses), and it depends on how often you work from home. But you must keep a detailed record of those hours worked.
You can also claim equipment like printers, monitors or desks — as long as they’re used for work and not just personal use.
4. Tools, Equipment and Tech
If you’ve purchased tools, gadgets, or gear for your job and they cost under $300, you can generally claim the full amount in the year you bought them.
For items over $300, the cost is claimed over a few years as depreciation.
This could include everything from a new set of screwdrivers to a laptop or software subscription — provided it’s directly related to earning your income.
5. Phone and Internet
If you use your personal phone or internet for work purposes, you can claim a percentage of your monthly bill. You’ll need to work out the work-related portion — usually by keeping a 4-week usage diary to support your claim.
Don’t claim 100% unless that phone or plan is used exclusively for work. The ATO is on the lookout for over-the-top claims here.
6. Training and Education
You can claim course fees and related costs (like textbooks, travel or stationery) if the study is directly related to your current job. That means the course helps you maintain or improve the skills you use in your existing role.
You can’t claim if the course is for a new job or a complete career change.
7. Other Common Deductions
- Union fees and professional memberships
- Tax agent or accountant fees
- Donations to registered charities (with a receipt!)
- Income protection insurance (if paid outside super)
Final Tip: Keep Your Records
To claim a deduction, the ATO says you need to tick three boxes:
- You spent the money yourself
- It directly relates to earning your income
- You have a record to prove it (like a receipt or diary)
If it doesn’t meet all three? Leave it out. No guesswork. No stress.
Still unsure what applies to your role? We’ve created occupation-specific deduction checklists to help you get it right. Head to our website to grab yours.
Because claiming smart, not big, is how you stay out of trouble and make the most of what you’re entitled to.
Remember: money is a tool. Use it well.