A lot of people do some sort of work from home. It might be simply answering emails on the couch or working from home a few days a week. If you do work from home, you might be wondering what you can claim come tax time.
AH Jackson & Co partner Emmanuel Georga said understanding what you are entitled to claim can often be confusing and, if you get it wrong, can lead to complications should you be subject to an audit from the tax office.
“Working from home entitles you to claim a range of expenses, but there are a number of rules around what is eligible and in what proportions,” Emmanuel said.
“For example, working from home entitles you to claim running and occupancy expenses.
“When it comes to running expenses, if you have a dedicated work area such as a study set aside for work, the essentials to keep the work area running like electricity, cleaning and office equipment can be claimed as an expense.
“Of course, any claim for these expenses can only be for the work-related portion of the expense.
“When it comes to occupancy expenses such as rent, interest on your home loan, property insurance, land taxes and rates, these can only be claimed if your home is your ‘place of business’ and no other work location has been provided to you,” he said.
“If you are unsure what you can claim, feel free to give your tax agent a call and ask. It’s better to be safe than sorry.”
If you would like to discuss any of the above measures please feel free to email your AHJ contact or enquiries@ahjackson.com or call (07) 3253 1500.