Operating a business from home

Sep 30, 2010

Can I work from home?

Some businesses are better suited to home locations than others. Where the operator travels to the client's premises and does the desk work at the home/office, this style of operation is appropriate. Working from home can be isolating and those who work from home generally do so on their own, so they are unable to rely on outside motivation. Home-based business operators are advised to join clubs or business network groups to ensure that they keep abreast of industry issues that may affect their business.

Do I need to speak to my local council before starting business?

Before you start operating your business from home, it is advisable to check with your local council to see if there are any permits that may be required. Before signing a lease or commencing a business from home it is necessary to speak to your local council to check that the area is zoned for that type of business. In some instances, special permits or licences may be required. Also it is necessary to make sure you comply with some of the regulatory requirements, such as health issues, particularly in food preparation and distribution, and also environmental protection regulations regarding air and water pollution and noise control.

What expenses can I claim for tax?

There is extensive legislation & court rulings in relation to home office expenses. Some expenses that may be deductible include:

  • portion of rent;
  • portion of mortgage interest, council & water rates;
  • telephone/facsimile;
  • computer;
  • office furniture;
  • cleaning;
  • electricity;
  • stationery; and
  • reference books

Tags: Small BusinessStarting a Business

Author: Mr Taxman

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  • "Yes you show the km allowance as taxable income and then you can also make a claim for your car travel. Under the cents per kilometre method you are limited to the first 5000km. So if you get..."

    By: Mr Taxman at Jun 04, 2025 11:57PM

    Post: Claiming car expenses

  • "No would not be able to claim the Uber home nor to the station the next day. The trip to the off-sit meeting would be claimable."

    By: Mr Taxman at Jun 04, 2025 11:55PM

    Post: Claiming car expenses

  • "Depends on your finance type ... if you takeout a lease then the lease payment forms part of your costs (but no depreciation can be claimed) ... if you takeout a Hire Purchase or a Loan then only the..."

    By: Mr Taxman at Jun 04, 2025 11:54PM

    Post: Claiming car expenses

  • "The cost of the trailer itself could be depreciated - usually over 8 years. Assuming no personal usage with it then 100% of that depreciation plus annual rego could be claimed."

    By: Mr Taxman at Jun 04, 2025 11:50PM

    Post: Claiming car expenses

  • "That would be a non-deductible trip unfortunately Erin"

    By: Mr Taxman at Jun 04, 2025 11:48PM

    Post: Claiming car expenses