Simplified depreciation and the small business pool

Dianne KennedyAccounting, Accounting and Tax, Blog, Expenses and Claims, Tax

The simplified depreciation rules are attractive for small businesses as they allow an immediate write-off for assets costing less than $20,000. In contrast, tax paying entities that do not qualify as a small business must use the general depreciation rules (also known as the uniform capital allowance rules), where assets costing more than $100 need to be depreciated over their … Read More

Getting deductions for clothing and laundry expenses right

Dianne KennedyAccounting and Tax, Blog, Expenses and Claims

The ATO allows certain taxpayers to claim a deduction for the cost of buying and cleaning occupation-specific clothing, items of protective wear and for certain unique, and usually distinctive, uniforms. To claim a deduction it is generally expected that you will be able to provide evidence that you purchased the clothing concerned, and will have diary records or other evidence … Read More

Gumtree or Facebook group sourced assets, and the realities of making a claim

Dianne KennedyAccounting and Tax, Blog, Expenses and Claims, Tax

A recent case before the Administrative Appeals Tribunal (AAT) brought into focus a growing phenomenon that you should keep in mind for work-related or business expense deduction claims, especially where the acquisition of claimable assets is made in a certain way. The engineer and his “invoice” The case involved a taxpayer’s attempt to make a claim for the cost of … Read More

Rental Property Claims That Are Often Misunderstood

Dianne KennedyBlog, Expenses and Claims

  The Tax Office has found that there are some landlords who may not be entirely sure about whether they are correctly claiming their rental property deductions. In particular, it has found that many property investors are making simple mistakes that could be avoided with a little guidance. The Tax Office has identified some of the common errors that have … Read More