A COVID-19 TAX TIP FROM MR TAXMAN #1

Feb 25, 2020

If you work from home as a result of COVID19, you may be able to claim a deduction for the additional running expenses you incur. These include, expenses associated with heating, cooling & lighting in the area you are working from, phone & internet & other running expenses.

  • You may be able to claim the work-related portion of:
  • depreciation of home-office furniture, fittings & equipment such as computers & desks — if your equipment costs less than $300, you can claim a full deduction for the work-related portion
  • home telephone calls (25 cents per landline call; 75 cents per mobile call; and 10c per text that are made for work related purposes)
  • internet access charges
  • printer & printer cartridges
  • stationery
  • the cost of heating, cooling & lighting your home office that is over the amount you would ordinarily have to pay if you did not work from home (either your actual expenses or a rate of 52 cents per hour).
  • the costs of repairs to your home-office furniture & fittings
  • maybe even a portion of rent or mortgage interest (but beware of CGT) if its a condition of employment that your home is a place of business

Want more info on this & other claims? Get my best-selling book 101 Ways to Save Money on Your Tax - Legally! before its sells out like toilet paper (PS its tax deductible!).

101 Ways to Save Money on Your Tax - Legally! 2019-2020 edition

 

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  • "Hello Taxman! I invested in BTCUSD trading using MT4 trading platform using a broker in HongKong. I am a Australian resident for tax purposes. I used to trade only 2-3 times a month. I made profilts..."

    By: Santosh at Aug 09, 2020 4:05AM

    Post: Foreign currency trading

  • "Hi Mrtax I’m a sole trader with an ABN, I work for myself as a Nanny. Would my home be considered my place of Business/work, where I then travel to my clients home to care for the..."

    By: Jessica at Aug 07, 2020 11:41PM

    Post: Claiming car expenses

  • "No you can't James. The limit of 5000km per year applies to your car not the number of different income activities that you have. So if you claim 5000km against your employment, no cannot claim any..."

    By: Mr Taxman at Aug 07, 2020 12:08AM

    Post: Claiming car expenses

  • "Hi i am on salary and wage and also have a business. I am required to use the same car for both sources of income and have travelled well in excess of 5,000kms each for both. Am i able to claim..."

    By: James at Aug 04, 2020 2:34AM

    Post: Claiming car expenses

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    By: Vantagepointx at Jul 29, 2020 6:08AM

    Post: Trading via self managed super fund (SMSF)