It’s time to assess your tax return, and now you should start thinking about expenses you paid over the year. Claiming some of the expenses is not hard and can be done as tax deductions can be used to reduce your taxable income. But there are some things to look for while identifying expenses that can count as fruitful deductions. A few questions to ask yourself should be, did I spend the money and wasn’t compensated by my employer? Is the expense related to my work or income? Based on that, here are a few tax deductions from the taxation services Strathmore professionals which may help you claim the tax benefits.
1. Home Office Expenses
Home office expenses include a lot of costs, for example, phone and internet. In this computer, consumables, stationery, home office equipment are the things you may be able to claim either the full cost of the items if the supposed price is lesser than $300 or depreciation for items over $300. Then there come home expenses like rent, mortgage interests, cost of household items, etc. Other calculation methods may be more appropriate to your circumstances. You need to make a clear idea of which criteria fit your claim. Your entitlement to claim a deduction for a particular expenditure will also depend on your circumstances.
2. Vehicle and Travel Expenses
There are not many claims, to begin with. You can’t claim expenses for getting into your workplace; however, there are some work-related expenses that you might claim. For instance, where you need to attend multiple locations, car expenses where you need your car to perform, accommodation expenses, etc.
A deduction in education is rare but not unheard of. If your studies were work-related or if you enrolled in a work-eligible course, then you can make a claim on tax deduction. It may or may not work, but legally you do earn the right.
4. Clothing, Laundry, And Dry-Cleaning
If you bought any clothing piece for a particular location, your own protective clothing, or any work uniforms required in your job, the claim condition applies. You can claim the cost by incorporating the cleaning costs as work-related expenses. However, you might not be able to claim costs for clothing items that are additional and do not serve the job purpose. You can’t claim for conventional clothing as well. To claim these costs, you need to have some written evidence of these costs in receipts, memos, or bills.
5. Investment Income
Investment income is claimable if you have received interest payments on the savings you made. You can also claim dividends from your investments in shares, rental payments from an investment property, or any investment income. If you received any of these, you could claim for costs related to the revenue. You can also claim money for any investment advice.
There you have it five places where you can claim for tax deductions. You can look for more information on the government’s website. Taxation services in Strathmore, Australia (or any other place you live in) can help you understand it better with their services.