When can I claim a deduction?
You can claim a deduction for most costs you incur in running your business, for example staff wages, marketing, and business finance costs.
Remember – you can't claim private expenses and make sure you keep records to support your claims.
What business travel expenses can I claim?
If you or your employees travel for business, you can claim:
- airfares, train, tram, bus or taxi fares
- accommodation costs and meal expenses for overnight business travel – fringe benefits tax may apply for some employee travel expenses.
Can I deduct the cost of some assets straight away?
Under the small business instant asset write-off you can immediately deduct the business portion of the cost of eligible new or second-hand depreciating assets. The cost of each eligible asset must be less than the threshold applicable to the date range that the asset was first used or installed ready for use. The thresholds for assets first used or installed ready for use are:
- from 1 July 2023 to 30 June 2024 - $20,000
- from 12 March 2020 to 30 June 2021 for assets purchased between 7.30pm (AEST) on 1 May 2015 and 31 December 2020 - $150,000
- from 7.30pm (AEDT) on 2 April 2019 to 11 March 2020 - $30,000
- from 29 January 2019 to prior to 7.30pm (AEDT) on 2 April 2019 - $25,000
- from 1 July 2016 to 28 January 2019 - $20,000.
For assets first held and first used or installed ready for use for a taxable purpose, between 7.30pm (AEDT) on 6 October 2020 and 30 June 2023, you can immediately deduct the business portion of the cost of eligible new or second-hand depreciating assets under temporary full expensing.
What can I claim if I have a home-based business?
If you run your business at your home, or your business is based from home, you can claim the business portion of some expenses, including mortgage interest and electricity.
If you sell your home, you may have to pay capital gains tax (CGT) on the business portion and declare it in your tax return.
More information
For more information see: