Tax time made easier with these tips

Tax time made easier with these tips

With many of us working from home more often, there’s more to consider when it comes to lodging your tax return. If you’re not too sure where to start, we’ve pulled together a general guide to help get you started.

Disclaimer: The content provided is general in nature and has not taken into account your objectives, financial situation or needs. Origin recommends you seek your own independent tax advice prior to lodging your tax return.

What can you claim at tax time?

Energy expenses

Working from home means many of us are using more electricity to run multiple devices. The good news is that you may be able to claim a portion of your energy expenses (both electricity and gas), including heating, cooling and lighting. If you’re an Origin customer, you can download your bills and account statements via My Account or through the Origin app. Our tax time help & support page will show you how.

Phone and internet

You can claim the cost of using your phone and internet while you’re working from home. Simply keep your phone and internet bills, along with a record of your work-related use. If you’re planning to claim using the actual cost method, any internet usage by others in your household must be taken into account when you’re working out your work-related use. The alternative is to claim these expenses under the fixed rate method (more info on this below).

Cleaning costs

If you have a dedicated home office, you may be able to claim cleaning expenses. Remember to keep your receipts handy. 

Stationery and office supplies

Think about all the things you use to get your job done. Eligible items include office furniture such as chairs, desks and lamps, general stationery and office tech —like computers, printers and consumables (e.g. ink and paper). Be sure to have your receipts handy for any purchases you’ve made and a record of your work-related use. An outright deduction can’t be claimed for items of office furniture, computers, and printers unless they cost $300 or less. If they cost more than $300, however, you can claim their decline in value as a deduction. 

Deductions you can’t claim

It’s important to also keep in mind there are some items you can’t claim for. These include:

How do I calculate my working from home deduction?

There are two ways you can calculate your deduction for additional running expenses – the fixed rate method, or the actual cost method.  

The fixed rate method allows you to claim 67 cents for every hour you work from home and covers your additional running expenses that are often difficult to apportion, including data and internet, mobile and home phone usage, electricity and gas, stationery and computer consumables (e.g. printer ink). You can’t claim these items separately, elsewhere in your return. 

To claim a deduction using the fixed rate method, you’ll need to have records that show: 

If you don’t use the fixed rate method to calculate your working from home expenses, you’ll need to use the actual cost method, and additional records will be required.  

Consult the ATO website

Our tips are not tax advice and are intended to be general in nature. We recommend you keep a record of all your receipts and working hours as evidence, and that you seek expert advice from a registered tax professional before you lodge your return.

For more information on what you can and can’t claim check the ATO website and for businesses check out ATO website for business

What are my options when lodging my tax return?

Knowing what you can claim is the first step. Knowing how you can claim is the next big step to tackle. There are a few ways you can lodge your tax return: 

If you’re planning on engaging a registered tax agent to lodge on your behalf, make you sure you check that they’re registered with the Tax Practitioners Board

Talk to the experts

Still not quite sure where to start? That’s okay, you can always talk to the experts and get the help you need to make the process as easy as possible. Speak to the ATO, or your registered tax agent to help get you on your way. 

This article has been created in collaboration with the Australian Taxation Office. For more helpful tax info visit the ATO Community or the ATO website.

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