Taxable Income

Taxable Income
Questions about income and inheritance tax? Read H&R Block's FAQs for answers. If you can't find what you're looking for, call us at 13 23 25 today.

Australian businesses with an annual turnover of $75,000 or more are required to register for GST. If your business has a lower turnover you are not required to register, but you may do so if you wish. The exception is ride-sharing and tax drivers, who need to register for GST irrespective of their turnover. You will only be required to charge your customers GST if you are registered. Your local H&R Block office can assist you with your application to register for GST.

Call 13 23 25 or use our office locator to find your nearest H&R Block office and book an appointment online.

Most Australian businesses can claim fuel tax credits for running machinery, plant, equipment and heavy vehicles used in running that business.

To be eligible to make a claim the business must be registered for GST and the claim should be made on the Business Activity Statement (BAS) that is required to be lodged.

The amount that can be claimed will depend on the type of fuel and what it is used for.
If your turnover is less than $50 million dollars, you would be able to access a number of small business concessions including:
  • income tax concessions
  • excise concessions
  • Pay As You Go (PAYG) installment concessions and
  • Fringe Benefits Tax (FBT) concessions.

The $50 million turnover threshold applies to most concessions, except for:
  • the small business income tax offset – which has a $5 million turnover threshold
  • the capital gains tax (CGT) concessions – which have a $2 million turnover threshold. If your business does not meet the $2 million threshold test, you may still be have access to access the CGT concessions if the total net value of the CGT assets of the business is less than $6 million.

If your turnover is less than $10 million, you may also be able to access the Goods and Service Tax (GST) Concession, which may assist with cashflow.
Provided that you satisfy the eligibility criteria, you will be able to claim a deduction for the superannuation contributions you have made to a complying superannuation fund or retirement savings account.

The maximum concessional superannuation contribution (which includes employers superannuation contributions, salary sacrificed super and personal deductible contributions) is $27,500 per year. However, if you have a total superannuation balance of less than $500,000 at the end of the year prior to making the contribution, and you have not used all of your cap in previous years, you may be able to contribute more by utilising your unused cap amounts from the 2019 year onwards. Unused cap amounts can be carried forward for up to 5 years.

You must have first notified your superannuation fund of your intention to make the claim and received a confirmation.
If your turnover is less than $50 million you will qualify to be able to claim certain eligible pre-paid expenses in the year they were paid.

Some examples of prepaid expenses that can be claimed in the year they are paid are rent, insurance and subscriptions to professional associations.

Eligible expenses will be payments that are made for periods of 12 months or less and the period covered ends in the next income year. Your pre-paid rent qualifies because the period it covers does not exceed 12 months and that period will end before the end of the next income year. The whole amount will be claimable on your tax return this year.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. Find an office near you and book an appointment online or call 13 23 25.
If a taxpayer carries on all or part of their employment activities from home, some portion of the running expenses can be deducted. A record should be kept of the number of hours working from home.

The Commissioner’s rate of 67 cents per hour can be claimed for the hours the home office is used. The 67 cents per hour method has an allowance for the cost of electricity and gas, telephone, internet, stationary and computer consumables. If using this method, no additional claim can be made for these expenses. 

However, additional claims can be made for depreciation of office furniture and equipment, repairs to office furniture and equipment and, if you have a dedicated office area, cleaning of the office. Alternatively, you can calculate all of the running expenses separately (including actual power used) and claim the work proportion of these expenses. Only running expenses can be claimed for home office unless the home is being used as a place of business.

Where a home is a place of business (and is easily identified as such – for example a separate entrance, signage, clients/customers coming to set area of your home etc.), deductions can be claimed on occupancy and running expenses including:
  • mortgage interest
  • rent
  • house insurance
  • council rates
  • insurance
  • repairs
  • cleaning
  • pest control
  • maintenance
  • decorating
  • telephone
  • heating
  • lighting.
Find your nearest H&R Block office and book an appointment online or call 13 23 25.

If you believe this is incorrect, you should contact your bank to verify the income details for your accounts. The bank should notify the ATO in writing if this information is not correct.

You have 28 days to correct this information. However, if you have omitted the taxable income, you will not need to contact the ATO. They will amend your return and send you a new assessment requesting payment of the additional tax, a general interest charge and, in some cases, penalties. If you require assistance with your communication with the ATO, H&R Block can help.

A Living Away From Home allowance is paid by employers when they require an employee to work in an area that is different to their normal workplace and the employer pays the costs to the employee for living away from home.

For example, I work and live in Melbourne and after a few months the company requires me to go to Regional NSW for a few months to do some work there.  They pay me an allowance for the costs of living in regional NSW because they have requested me to work there for a time. 

This is not taxable income, so I do not need to declare it in a tax return.  It is an allowance paid by an employer to an employee and is not subject to tax by the employee, provided it is paid in accordance with the tax office guidelines.  No expenses can be claimed against this allowance.

The living away from home allowance (LAFHA) is taxed to the employer under the Fringe Benefits Tax system.  However, the employer is able to reduce the Fringe Benefits Tax payable on the amount paid to the employee, for a maximum period of 12 months, provided the employee meets the following conditions:
  • maintains a home in Australia for their own personal use and enjoyment at all times whilst required to live away from home for their work; and
  • provides a declaration relating to living away from home.

If these rules are satisfied, the employer is able to reduce the taxable value of the LAFHA by:

  • the amount of the employee's actual substantiated accommodation expenditure while living away from home; and
  • the amounts incurred by the employee for food or drink costs while living away from home, less a statutory amount if applicable.

There is no inheritance tax in Australia. However, if you invest the income from the estate, then any earnings will be taxable.

You are wise to be cautious. Not all schemes are genuine and often promise large tax deductions that they say will be allowed by the tax office. It is wise to check out any investment scheme before putting your money into them. 

If you invest in a risky tax scheme, you could lose some or all of your money, and you may have to pay back any refunds due to over-claimed deductions as well as interest and penalties. 

Before investing in any tax scheme it is advisable to seek independent advice from a professional advisor and/or the tax office. Information and warnings about investment schemes and scams can be found on the Australian Securities and Investment Commission and the Australian Competition and Consumer Commission SCAMwatch website.

All income must be declared by each recipient on the same basis as the accounts are held. Interest from a joint account must be split 50/50. You cannot declare it all on your wife’s tax return and doing so could lead to an ATO audit.

Yes, she will have to lodge a return. A minor who earns over $416 in unearned income must lodge an income tax return. Personal exertion income (such as salary & wages) will still have tax payable on it, but that tax payable can be reduced by the low income tax offset. All unearned income will not attract the low income rebate and will be taxed at minors’ rates.

You do not have to lodge a full tax return. You can complete the Refund of Franking Credits for Individuals form which can be lodged by telephone or mailed to the ATO.

In most cases overseas pensions are taxable and, if you are an Australian resident, you will need to include the amount in your tax return. There are a few exceptions to this rule. Please call H&R Block on 13 23 25 if you are not sure.

All income must be declared. This is because the tax office needs to determine what tax rate applies to your other earnings for the year. You may be entitled to an offset to ensure that no tax is payable on your benefit.

You can access the information required from Centrelink online services, Express plus mobile apps and at self-service terminals at Dept. Human Services Service Centres. H&R Block can also look up the required information for you.

You will only have to pay tax on any earnings you make from the time that you moved to Australia. If the money that you brought with you earns interest in a bank account you will have to pay tax on the interest.

The income will generally be taxable unless you have worked overseas continuously for more than 90 days and are working:

  • As an aid or charitable worker employed by a recognised non-governmental organisation;
  • As a government aid worker; or
  • As a government employee deployed as a member of a disciplined force 

In these cases the income will be tax exempt.

If your overseas income is not exempt, you will need to declare the income on your Australian tax return and may be entitled to a foreign income tax offset for any foreign tax you paid on that income.

We can assist you with any number of tax questions. Find an office near you and book an appointment online or call 13 23 25.

You can make a voluntary payment at any time but there are no tax advantages to doing so. It is a good idea to make the payment before 1 June when the annual indexation is calculated. The indexation rate for 2023 is 7.1%. You should be aware that if your HELP repayment income is above $48,361 (2022-23 rate) and you still have an outstanding HELP balance you may also be required to make a compulsory payment when you lodge your 2023 tax return.

No. This would be incurred at “a point too soon” and could not be deducted as there is insufficient connection to the derivation of taxable income.

The costs associated with seminars are tax deductible provided that they relate to your current income producing activities.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. To find an office near you just call 13 23 25 or click here.

There is a limit to the amount of money you can voluntarily contribute into your super fund on a concessional basis. Superannuation contribution limits operate to limit the tax benefits available each year.

Making contributions over the limits results in additional tax payable, and excess concessional contributions are counted towards the non-concessional cap. 

Concessional contributions are essentially those contributions which are tax deductible, and include employer contributions and personal contributions. 

The current concessional contributions cap, regardless of age is $27,500 per annum. However, if you have a total superannuation balance of less than $500,000 at the end of the year prior to making the contribution, and you have not used all of your cap in previous years, you may be able to contribute more by utilising your unused cap amounts from the 2019 year onwards. Unused cap amounts can be carried forward for up to 5 years.

From 1 July 2022 if you are under 75 years of age, you will no longer need to meet the work test to make or receive non-concessional super contributions and salary sacrifice contributions. If you are aged 67-74 years, you will however be required to meet the work test in order to claim a personal superannuation contribution deduction.

To meet the work test, you must be gainfully employed for at least 40 hours during a consecutive 30-day period in the financial year in which the contributions are made.

Non-concessional contributions are those made from after-tax income. There is no contributions tax applied when they are contributed to the super fund. Once in the fund, the normal fund tax rates apply to earnings

The non-concessional contributions cap is $110,000. The bring-forward rules allow you to make up to three years' worth of non-concessional contributions in a single year. 

Until 30 June 2022, you needed to be under age 67 during a financial year to take advantage of the bring-forward rule. From 1 July 2022, the age limit increased to age 75, allowing people in their early 70s to start a bring-forward arrangement.

Amounts paid into superannuation by your employer to meet the Superannuation Guarantee obligations and amounts paid under a salary sacrifice arrangement are called concessional contributions.

Salary sacrificing into super involves asking your employer to redirect a portion of your pre-tax pay into your super fund. These contributions are taxed at a rate of 15% in the super fund. For most, this is a lower rate of tax than their marginal tax rate.

The concessional contributions cap per annum, per individual, is $27,500. If the total of your employer superannuation contributions, any personal contributions you have made for which you will be claiming a tax deduction and salary sacrifice contributions go over this cap, you may have to pay extra tax. However, if you have a total superannuation balance of less than $500,000 at the end of the year prior to making the contribution, and you have not used all of your cap in previous years, you may be able to contribute more by utilising your unused cap amounts from the 2019 year onwards. Unused cap amounts can be carried forward for up to 5 years.

Check your employment agreement or speak with your employer before arranging salary sacrifice into super. 

If you have salary sacrificed into super, the amount contributed is included in the reportable employer superannuation contributions amount shown on your PAYG income statement. This means that any entitlement you have to any benefits from Centrelink that are subject to an income test will take into account those amounts.

Any superannuation contributions for which you have claimed a tax deduction will also be taken into account. These amounts also contribute to the calculation of any Child Support payments and are used to determine your liability to such things as the Medicare levy surcharge or repayments of HECS-HELP debts. They may also impact on any tax offsets that you are entitled to claim on your tax return.

People who have reached 60 do not pay tax on superannuation income streams (pensions or annuities) that are paid from a taxed fund. A taxed fund is one where contributions tax was paid on the contributions made by your employer into your super fund on your behalf.

Contributions tax would also have been paid for contributions made under a salary sacrifice arrangement. Most funds are taxed funds. However, for taxpayers who belonged to an untaxed super fund, they will still have to pay tax on their superannuation income stream, irrespective of their age.

Taxpayers who are over 60 years of age (for the full financial year) and receiving a superannuation income stream from a taxed fund do not receive a PAYG income statement.

Even if your employer is required to contribute to your super, you are now also eligible to contribute and claim a tax deduction.

Contributions that you claim as a tax deduction count towards the $27,500 concessional contributions cap, along with any contributions your employer pays and any salary sacrifice contributions you make to your super. If this cap is breached, you may have to pay excess tax. However, from the 2019 year, if you have not used your concessional contributions cap for the year, the excess may be carried forward and used in a future year (within 5 years).

If you claim a tax deduction for a contribution you have made, you are not eligible for the super co-contribution for the amount you claim.

You must make a valid ‘notice of intent to claim’ in the approved form (https://www.ato.gov.au/uploadedFiles/Content/SPR/downloads/n71121-11-2014_js33406_w.pdf ) to your super fund before you lodge your tax return or by the following June 30, whatever is earliest.

You must receive an acknowledgement from your super fund that a valid notice of intent has been received, BEFORE you claim the tax deduction.

If you make a personal contribution to super, you don’t have to claim a tax deduction. It will be treated as a non-concessional contribution and won’t be taxed in the fund. You may be eligible for a co-contribution for amounts not claimed as a tax deduction. 

If you do not tell your superannuation fund what your TFN is then the fund will be required to pay additional tax on any contributions made by your employer (including salary sacrifice amounts).

Without having your TFN recorded, your fund will not be able to accept any personal contributions that you make and the government co-contribution that you may be entitled to cannot be paid into your account.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. Find an office near you and book an appointment online or call 13 23 25.

Income statements are now categorised into tax ready, not tax ready and year-to-date.

The reason for this is the Single Touch Payroll (STP) reporting system, which all employers must use,  means that your payroll data and super information is automatically sent to the ATO with each pay run, therefore making the issuing of annual payment summaries redundant. You will be able to see this in real-time by checking your myGov account.

Generally payers are required to finalise income statements within 14 days of the end of the financial year – i.e. 14 July. These can accessed through myGov or H&R Block can download if for you.
You must keep all the records, receipts and other documentation you have used to prepare your tax return. If you are claiming deductions, you must keep written evidence to verify your claims for those deductions.
If you are an individual, you must keep proper records relating to your tax affairs for at least five years from the date you lodged your tax return.
If you are a small business, you must keep proper records relating to your tax affairs for at least five years from when the business record is prepared or the transaction is completed, whichever occurs later.
If at the end of the five year period, you are involved in a dispute with the Commissioner (an audit, for example), the five year period is extended.
If you use information from your records in a later tax return, you may have to keep records for longer. So, if you carry forward a tax loss, you must keep the records until the end of any period of review for the income tax return in which the loss is fully deducted.
If you own an asset which will be subject to capital gains tax on disposal, you will need to keep records covering the entire period of ownership until 5 years after lodgment of the tax return recording the disposal of the asset.

The Medicare levy surcharge is payable where your income (or your family income if you have a partner) is over a threshold amount and you and all of your dependents do not have adequate private hospital insurance. The threshold amount for a single taxpayer is currently $90,000 and for a sole parent or a family with one dependent child it is $180,000. These thresholds will increase to $93,000 and $186,000 for the 2023-24 tax year. If your income for surcharge purposes exceeds the relevant amount and you and all your dependents do not have private hospital cover, you will pay the surcharge. If you take out private hospital cover part way through the year, you will be liable for the surcharge for the number of days during the year that you and all of your dependents did not have private hospital cover, so it is worth checking if you will be over the threshold as soon as possible.

Income for surcharge purposes includes your taxable income, exempt foreign employment income, investment losses as well as reportable fringe benefits and reportable superannuation contributions. The private health insurance rebate and the Medicare levy surcharge are income tested against three income tier thresholds. Higher income earners will receive less private health insurance rebate or, if they do not have the appropriate level of private patient hospital cover, the Medicare levy surcharge may increase.
If you are unsure whether or not you will be liable to pay the surcharge, you should contact your H&R Block Tax Consultant on 13 23 25.

You are a temporary resident and, if your income for surcharge purposes is over the relevant threshold amount, you may be liable to pay the Medicare levy surcharge. The policy that you have is not sufficient to provide you with an exemption from the levy. However, if you are not eligible for medicare benefits, you may be able to apply for a medicare levy exemption, which will also exempt you from the surcharge. For more information contact your H&R Block Tax Consultant on 13 23 25.

How you apply for a TFN depends on your circumstances. Choose from one of the following to find out about the application options for:

Provided you have applied for a tax file number, you have 28 days to quote your tax file number to your employer.

One of the ways you can reduce the tax you pay is by salary sacrificing in return for employment related benefits. The advantage of salary sacrificing is that your benefit is purchased with pre-tax dollars. Find out more information and tips on salary sacrificing.

If you salary sacrifice into superannuation this will attract a contributions tax of 15%. If your income exceed the tax free threshold for that year, you will be taxed at a higher rate. As you are paying 19 cents in the dollar (plus Medicare) for any amount you earn over $18,200 this is greater than the 15% payable in contributions tax.

However, any amounts that are sacrificed into superannuation will also be taken into account for the income tests that determine liability to pay the Medicare levy surcharge and the entitlement to claim dependent tax rebates and seniors tax offsets.

Some people with two or more jobs or other tax income may be caught in an unintentional tax trap. The problem occurs even if the taxpayer and the employers do the right thing – as determined by ATO tax PAYG scales. The first job attracts the tax-free threshold while second and subsequent jobs are taxed in line with the progressive tax tables supplied by the ATO. It causes taxpayers to be, in effect, under-taxed on their ordinary earnings, which can result in a tax bill at the end of the financial year. Click for more information regarding multiple income sources or contact H&R Block and one of our Tax Consultants can assist you with this.

There is a separate tax category for people who are temporarily living in Australia. A permanent resident is generally taxed on all income in and out of Australia but a temporary resident is exempt from paying tax on certain classes of income. People who exhibit the behaviour of a 'resident' and hold a temporary visa granted under the Migration Act of 1958 will be taxed at resident rates. Temporary residents may also be liable to pay the Medicare levy unless they are eligible to apply for an exemption.

You would be considered to be a non-resident for tax purposes because you have not settled in any one place and established a home during your stay in Australia. However, you are also subject to the working holiday maker tax rates, which are 15% on all income earned up to $45,000. This also means that you are not entitled to the tax-free threshold. Accordingly, you will not get your tax back when you lodge a tax return because you will be charged working holiday maker rates. This means that you have to pay tax on every dollar of your taxable income. You will not have to pay the Medicare levy though.

Non-residents pay tax on Australian source income. They pay tax on every dollar of taxable income as declared on their tax return but do not pay Medicare. Residents have to declare all income earned in and out of Australia. A tax free threshold of $18,200 (for the 2023 year) is available to them and a resident may be entitled to claim some tax offsets (rebates) that are not available to non-residents. Depending on their income, a resident may also have to pay the Medicare levy and Medicare levy surcharge.

You should lodge your outstanding tax returns as soon as possible and before the Australian Taxation Office takes any action to have you lodge these tax returns. Once they have begun any action, it could result in a court conviction. The ATO may charge a penalty of $275 for every 28 days that the return is outstanding. The maximum penalty is $1,375 even if you are due a refund. In addition, the ATO will charge interest. This is called the general interest charge and is levied on any outstanding monies. If you are a small business, the small business lodgement penalty amnesty program may allow you to bring your outstanding income tax returns, business activity statements (BAS) and fringe benefits tax (FBT) returns up to date, without the imposition of penalties. H&R Block can assist you to lodge your late prior year returns.

Your wife does need to lodge a return even though her income is below the tax free threshold. Any earnings that have had tax withheld, no matter how small, are required to be reported on a tax return. This is also the only way to get a refund of the tax paid.

It is necessary to complete a tax return to date of death if a return has been lodged in past years. This return, marked final, must show all income received to the date of death.

If you owe tax and lodge your return late, any amount owing will be payable on 21 November this year and a general interest charge will be calculated from then until payment is made. The ATO may charge a penalty of $275 for every 28 days that the return is outstanding. Unless you use a registered tax agent, you have from 1 July until 31 October to lodge your return. If you need an extension of time either contact the ATO or your local H&R Block for assistance on 13 23 25.

It isn't necessary to complete a return before leaving Australia unless you will not be back before the due date for lodgement of your return (31 October). If you won't be back until after that date contact the Australian Taxation Office or a registered H&R Block tax agent to apply for an extension of time to lodge.

  • You don't have to lodge a combined tax return if you're married (as happens in some other countries). Joint income is recorded separately in each spouse’s tax return.
  • You need to show on your tax return that you now have a spouse, and disclose his or her taxable income each year. 
  • Your combined income is taken into account if you don't have private health insurance (you may have to pay the medicare levy surcharge –effectively an additional tax of up to 1.5% - if you are a high earning couple and one or both of you does not have a qualifying private health policy) as well as when calculating some benefits such as family tax benefits.
  • If you elect to change your name, the details will need to be updated before your tax return is lodged. The easiest way to do that is online or you can do it by phone. You’ll need to verify your identity with the ATO when you do it, so you’ll need documents such as your birth certificate or marriage certificate. You cannot notify the tax office simply by noting it on the front cover of your next return as used to be the case.
Contact H&R Block on 13 23 25 to speak with a tax expert to find out whether you are affected or not.

Since 1 July, 2009 the definition of 'spouse' has changed to include same-sex partners. If you are living in a domestic situation, in a relationship as a couple, you will be entitled to claim the same family tax concessions that can be claimed by partners in an opposite-sex relationship. If you pass the relevant income and age tests you may be able to claim an Invalid and Invalid Carer Tax Offset if your spouse is genuinely unable to work because they are an invalid or they care for an invalid (the invalid must be receiving a Government disability payment to qualify).

You can't claim the tax offset if you maintain: 

  • Your spouse who is an invalid or invalid carer and your adjusted taxable income is more than $104,432
  • An invalid or invalid carer who is not your spouse and your and your spouse's adjusted taxable income is more than $104,432.

Depending on your combined income you may also be entitled to claim a reduction in the amount of Medicare levy you pay. Any other tax benefits you may be entitled to will be determined on the basis of your income, not your gender.

To work out how much CCS you’re eligible for, the following factors are relevant:
  • your family’s income
  • the hourly rate cap based on the type of approved child care you use and your child’s age
  • the hours of activity you and your partner do.

The precise calculation is complex. You should visit the Services Australia website (https://www.servicesaustralia.gov.au/individuals/services/centrelink/child-care-subsidy/how-much-you-can-get) for details.

The amount of subsidised child care you can access per fortnight applies to each child.

The Child Care Subsidy percentage you are entitled to depends on your family income. For the 2023 year, Childcare Subsidy is payable for people with family income of $356,756 or less. From July 2023, this threshold will increase to $530,000. The percentage rate payable will be 90% for people with family income of $80,000 or less and will reduce by 1% for every $5,000 over $80,000.
You have 12 months after the end of the year to lodge your tax return so that the FOA can check that you have been receiving the correct amount. If you overestimated your income you will receive a top-up payment but if you underestimated your income they will require the over payment to be paid back.

For example, for payments received during the 2022-23 income year you will be required to lodge your 2023 tax return by 30 June 2024. If you have a partner their tax return will also have to be lodged by that date. Failure to meet the deadline could result in your payments being stopped and the repayment of amounts already received. If the tax office does not require you to lodge a tax return then you should notify the Family Assistance Office.

No. Maintenance payments are not tax deductible.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. Find an office near you and book an appointment online or call 13 23 25.

You are able to claim expenditure incurred in replacing, insuring and repairing tools of trade that you use for earning your income. If the cost of any item is more than $300, it will have to be depreciated (i.e. claimed over its effective life). The amount you can claim will depend on what receipts you have kept and to what extent you use it for income producing purposes. If you are in the situation where you are wondering what you can claim without receipts, you can claim less than $300 without proof of purchase.

If technical books, trade books or journals are necessary to fulfill your job function efficiently, the cost of their purchase is tax deductible.

Learn more about claiming self-education expenses.

A deduction is available for outdoor workers who buy sunscreen lotion, sunglasses and hats for use at work. The claim must be substantiated and apportioned for private use.

There are two different methods for claiming work related motor vehicle expenses and each have different record keeping requirements.  To use the method that ensures you the best claim it is advisable to keep a log book and all receipts for expenses (e.g. insurance, registration, repairs, services, tyres, etc.). You do not have to keep receipts for petrol as H&R Block can work that out for you using a yearly average formula. Your log book should be kept for a minimum of 12 consecutive weeks and generally it will be valid for five years unless there are significant changes in your circumstances. You also need to keep the opening and closing odometer reading for each year. 

It is not necessary for you to use the same claim method each year. The choice of method should be made on the basis of which is more favourable to you and which you have the appropriate records for. If you don’t have a current logbook or have not retained all receipts you will be limited in which method you can choose. You cannot, however, claim any car expenses if your car is salary packaged.

Expenditure on personal grooming and haircuts are generally not deductible. There are exceptions for some taxpayers involved in the performing arts field.

Compulsory uniforms are generally deductible provided they identify you as an employee of that organisation or in a specific occupation. A requirement to simply wear particular colours is not enough to make the clothing deductible (for example a waiter being required to wear black and white clothing) nor is a requirement to wear a store’s own brand of clothing (they are still conventional clothing and not tax deductible). Corporate wardrobes are also deductible if certain conditions are met. The uniform design must be registered with AusIndustry. Provided that the clothing is deductible then you may also claim maintenance costs (laundry, dry cleaning and repairs).

Learn more about claiming a tax deduction for work clothing.

Fashion clothing is not tax deductible even if your employer requires you to wear it. Because the logo is a part of the design of the clothing and does not in itself identify you as an employee it will still not be claimable.

You cannot just claim $300. You must actually incur any expense before it is claimable. Whilst you may not need receipts for expenditure up to $300 you must have spent the money and it must be relevant to your employment.

Your travel must be relevant to your job function for you to be eligible to claim a deduction for those expenses. Where this is the case, and you have the necessary documentation, you can claim the cost of transport and incidentals. If your travel involved an overnight stay you would be able to claim for meals. Travel overseas also requires you to keep travel diary.

A deduction will only be allowed if you have actually incurred a work-related expense and have the necessary documentation. Travel to and from your job is generally not claimable unless, for example, you are carrying bulky equipment. Some awards allow for a payment of an allowance even though an expense is not necessarily incurred by the employee. If a deduction can be claimed it cannot be for more than the expense that you incurred even if the allowance that you have received was higher.

You cannot claim the cost of the trip because the main purpose was to have a holiday and attendance at the seminar was incidental to this. You will only be able to claim the additional expenses that you incurred to attend the seminar. These could include the registration fee, taxi fare to the seminar, etc.

If a taxpayer carries on all or part of their employment activities from home, some portion of the running expenses can be deducted. A record should be kept of the number of hours working from home.

The Commissioner’s rate of 67 cents per hour can be claimed for the hours the home office is used. The 67 cents per hour method has an allowance for the cost of electricity and gas, telephone, internet, stationary and computer consumables. If using this method, no additional claim can be made for these expenses. 

However, additional claims can be made for depreciation of office furniture and equipment, repairs to office furniture and equipment and, if you have a dedicated office area, cleaning of the office. Alternatively, you can calculate all of the running expenses separately (including actual power used) and claim the work proportion of these expenses. Only running expenses can be claimed for home office unless the home is being used as a place of business.

Where a home is a place of business (and is easily identified as such – for example a separate entrance, signage, clients/customers coming to set area of your home etc.), deductions can be claimed on occupancy and running expenses including:

  • mortgage interest
  • rent
  • house insurance
  • council rates
  • insurance
  • repairs
  • cleaning
  • pest control
  • maintenance
  • decorating
  • telephone
  • heating
  • lighting
  • depreciation.
Installation costs are not deductible. However, part of the line rental costs are deductible where a taxpayer is required to make calls from home. Call costs would be deductible and a log of calls must be kept for a minimum of 4 weeks. Mobile phones are claimed in the same way. However, if you claiming a deduction for working from home using the Commissioner's 67 cents per hour method, you will not be able to make any additional claim for telephone expenses.

Items like this that you buy for use in your job can be claimed in your return. However, since the cost of these items is most likely to be more than $300 each you will not be able to claim the full cost in one year.

It will be necessary to spread your claim over the useful life of the items (depreciation) and only the work-related proportion is claimable. You should keep a log of work related use for a period of at least four weeks for each item to determine the proportion that you can claim.

The ATO have confirmed that the iPad will be treated as the equivalent of a laptop. If it is used to produce assessable income (i.e. for work related activities) a claim could be made. Any claim will have to be adjusted where there is private use and if the iPad cost more than $300 the work-related proportion would have to be depreciated over its effective life. You should keep a log of work related use for a period of at least four weeks to determine the proportion that you can claim.

Child care expenses are not claimable as a tax deduction.

You cannot claim a deduction for this because it is not a donation to the charity; rather you are receiving something for your money. Buying an item from a charity does not make your purchase tax deductible. The same applies to the purchase of raffle tickets. Only donations to registered charities are tax deductible.

There is no limit on the amount claimed each year, provided the expenses are necessarily incurred in earning your income. The expenditure must be work related and you may need receipts to substantiate the expenditure. Keeping incomplete, incorrect or no records at all may be limiting your ability to claim deductions. Advice can be obtained from a registered tax agent. H&R Block are happy to advise their clients on appropriate record keeping that will enable them to maximise their allowable deductions.

Provided it gives full details of the supplier and date of purchase the tax office would accept a credit card slip as proof of purchase. Taxpayers can make a notation on the document indicating the type of goods that were purchased. Many taxpayers use the internet to purchase or pay for their work related expenses and so the ATO will also accept Bpay or email receipts provided they contain the necessary information: date, supplier, nature of the goods and the amount.

Documentary evidence should be kept for five years from the date of lodgement of the tax return in which the claims are made. If you are depreciating an asset the receipt should be kept until the item is fully depreciated (even if over 5 years).

Fees paid to a registered tax agent (like H&R Block) for preparation of your return, amendments and generally handling your tax matters are all deductible. You can also claim travel to your registered tax agent (you are limited per income tax return to 5,000km in total across the entire return if claiming the c/km method). Registered tax agents are the only people legally able to receive payment for the preparation of tax returns.

At H&R Block nothing is too complicated. We can assist you with any number of tax questions. Find an office near and book an appointment online or call 13 23 25.

Unfortunately, not. If you buy cryptocurrency as an investment , Capital Gains Tax (CGT) will apply. If you buy and sell cryptocurrency as a trader, income tax will be charged.

This applies regardless of where in the world the cryptocurrency is bought and sold and regardless of the degree of anonymity associated with the sale 
If you are an investor and your sale proceeds are less than your cost base, you will make a capital loss. These losses can be offset against capital gains arising in the same year and to the extent they are not used up, they can be carried forward indefinitely until capital gains arise to absorb them. Capital losses can only be offset against capital gains, they can’t be offset against any other form of income.

If you lose your coins, they are stolen or you are otherwise subject to fraud you may be able to claim the value of your losses as a capital loss.

If you are a trader and you make a loss, this can potentially be offset against any other income arising in the same year (subject to the application of anti-avoidance rules relating to non-commercial losses)
In most cases, no. Some taxpayers mistakenly think that you can buy up to $10,000 of cryptocurrency and avoid CGT by taking advantage of the ‘personal use exemption’.

This exemption only applies where the cost of the cryptocurrency does not exceed $10,000 and you can demonstrate that the cryptocurrency was to fund genuine personal consumption, such as paying for a holiday, a car, your wedding, etc. Mistakenly relying on this exemption is one of the biggest reasons people fall foul of the ATO; expect to be asked to provide proof that you either did – or intended to – use your cryptocurrency to fund personal spending on goods and services.

Where the cost of your cryptocurrency assets exceeds $10,000, the personal use exemption will not be available and CGT will apply, whether the asset was for personal use or not.
If you invest in cryptocurrency, you pay CGT on each disposal (see above).
If you buy and sell cryptocurrency on a regular basis with a view to making a profit, then the profits on disposal of the cryptocurrency will not be subject to CGT but will be assessable income since you will be regarded as a trader rather than an investor. In effect, you’ll be regarded as being in business as a buyer/seller of cryptocurrency.

It can be a fine line between being an investor and a trader – broadly speaking if you are turning over your cryptocurrency every few days chasing profits, you have many transactions and you are running a business-like structure (with for example a business plan, accounts and records of trading stock, business premises, licences or qualifications, a registered business name and an Australian business number) you will be a trader. If you are holding the cryptocurrency with a view to long term gain, you are likely to be an investor.

If you are a crypto trader, the sales and purchases are converted to AUD$ at the date you receive the proceeds/make the payment. You must also apply the trading stock rules to determine if there is any income or deduction due to the changing value of your trading stock.
Capital Gains Tax (CGT) applies on gains arising from investment in crypto currency .

This is calculated based on the difference between the amount you paid for the cryptocurrency and the amount you disposed of it for. Any profit is subject to CGT, which can potentially be discounted by 50% if you hold your crypto asset for more than 12 months.

Your capital gain is worked out like this:
  • Deduct the cost base from the sale proceeds. The cost base is the price you paid for the cryptocurrency plus incidental costs.
  • Next, take away any capital losses you have.
  • Then discount the gain. Individuals are entitled to a 50% discount. The asset must have been held for 12 months or more for the discount to be available.
  • The resulting figure is your net capital gain. This is subject to tax at your marginal rate.
Disposal occurs when:
  1. selling cryptocurrency for Australian dollars
  2. exchanging one cryptocurrency for another
  3. gifting cryptocurrency
  4. trading cryptocurrency
  5. using cryptocurrency to pay for goods or services
In some cases, such as when you gift it, market value is substituted for proceeds.
 
We understand that things come up unexpectedly. If you would like to reschedule or cancel your appointment simply click here and enter your appointment confirmation number – this can be found in your booking confirmation email. Alternatively, you can call your local office or our contact centre on 13 23 25.
Joint bookings for more than one person can be made through any of our booking channels. Simply select the ‘In Office – Multiple Years or Multiple People’ option when selecting your appointment type online. Alternatively, if you’re speaking with one of our consultants simply ask for a joint booking and they will schedule in an appropriately timed booking for you. If booking online enter the names of the second person (or more) in the Comments section
Our handy tax checklist has been designed to help you prepare for a quick and efficient tax return experience. Find out more and download here.
If you are a property Investor, our Residential Property Investor Tax Time Checklist is also available to ensure you don’t miss out on any deductions this tax time and maximise your cash flow. Find out more and download here.
 
Occasionally our consultants may run a little overtime with their previous client and will be with you as soon as they can. Rest assured that this will not impact your allotted time and we appreciate your patience.
Short answer is yes. Our offices are open for business across the country, subject to government restrictions in each area. To do this safely we've introduced enhanced hygiene protocols in offices and we recommend wearing masks even when not mandated, to reduce the risk of transmission.

We are also taking no risks with our people.  Any associate or client who is unwell and showing even mild "flu- or cold-like symptoms" will be asked to not come to the office until the symptoms have gone. More information can be found here.
Yes, we accept walk ins.
If you cannot find a suitable appointment time at your preferred office, visit one of our other local offices. We have over 400 offices nationally. Simply click here and enter your postcode to find another office close by or visit www.hrblock.com.au . Alternatively, you can call 13 23 25 to book an appointment at an office close to you. If you can’t make it to an office and prefer to have your return prepared by an experienced tax consultant, our online tax options have you covered. Additionally, view our service comparison table to discover the best service option for you.
Refunds are based on the ATO and usually the ATO advises 7-10 business days to process refunds. Whichever way you choose to do your tax with us, your refund will be processed as soon as possible within those guidelines.
Contact us directly on 13 23 25 or visit our website to chat with a member of our team, here you can also find other contact options like email. You can also visit our social platforms (Facebook or Instagram) to reach out to our team directly via private message.
Yes, you can. You have the option to do a virtual appointment with a tax expert which can be booked through our appointment booking system (select Phone or Virtual). Or, you can complete your tax return with us through our Online Tax options. Simply click here for more information.
All of our course options are designed to teach you how to prepare tax returns under the supervision of a registered tax agent. We take you step by step through the theory and the tax preparation process using practical examples.

We offer five different options for completing the course:
  1. Instructor Led In Class - 2.5 hour weekly workshops plus self study for 15 weeks - commencing February 2024.
  2. Instructor Led Online - 2.5 hour weekly workshops plus self study for 15 weeks - commencing  February 2024.
  3. Instructor Led In Class Intensive - 4 hour weekly workshops plus self study for 9 weeks - commencing April 2024.
  4. Instructor Led Online Intensive - 4 hour weekly workshops plus self study for 9 weeks - commencing April 2024.
  5. Self Paced Learning - all self study with no weekly workshops - commencing mid February 2024.
For more details, download the full course outline in the 'find a class' section above.
For students registered in the Instructor Led Course, attending the weekly workshops in an required part of the course, in addition to keeping up to date with assigned reading and study. Students who follow the recommended weekly program should find the course engaging and achievable.
If you are looking for a new skill, a change of career, wanting to earn extra money from an addiitonal income stream, or looking to re-enter the workforce, then the Instructor Led Course Options are definitely the way to go. You don't need any previous experience in tax or accounting to be successful in the Instructor Led classes. You just need to be good with numbers and committed to the learning process. High achievers are eligible to apply for employment with H&R Block and potentially be refunded the full fee paid for the course. Check out our Graduate Offer.
For top graduates in any Instructor Led Course, job interviews are available for employment with H&R Block. We are looking for people who have good availability to work during the tax season (July through to October), along with strong numerical, communication, and people skills. Graduates registered into the Self Paced Option, will not have the opportunity to apply for employment with H&R Block.
Students who successfully complete any Instructor Led Course option, meet the employment criteria, and work for H&R Block during Tax Season 2024, are eligible to have the course fee they paid refunded to them.
At H&R Block, we will invest in your career as a H&R Block tax consultant by providing exclusive ongoing professional development training year on year at no charge to you, when you indicate that you wish to return.
The Self Paced option is designed for people already working in the industry who want to keep their knowledge current and for people just wanting to learn how to manage their own tax affairs. By registering for the Self Paced Option, students will not be eligible to apply for a position with H&R Block. If you are unsure of your intention when registering, we do recommend the Instructor Led Course as your preferred option.
There is no difference in the content covered. The best option for you depends on your reason for registering, and your preferred method of learning. Our team is always here to help if you have any further questions.
Yes, we employ registered tax agents, however, you would still be required to successfully complete the H&R Block Income Tax Course.
Students will be able to download a certificate at the completion of each module. This certficate will detail what was studied in that module and the time allocated to that module. For attendances at workshops and self study, you will need to record this time yourself in line with your professional body's requirements.
You will have access to the Learning Management System (LMS) until 30 June 2024. You will need to ensure that you have downloaded any documents that are available for download, and any certificates, before this date. We will not be able to provide you with these materials after this date.
We recommend that all students allow 8 to 10 hours on average each week for additional home study. For students registered into Instructor led Course Options, your workshop instructors will expect that you have completed your pre-workshop reading and assignments before attending class. 
Students registered into any INSTRUCTOR LED OPTION, are required to attend each weekly workshop as selected on registration, so make sure you save the dates into your calendar. Transferring within classes or study options once the course has commenced cannot be faciliated.

Students registered into the SELF PACED OPTION, will receive access to the training materials mid-February. All Self Paced learning students will have up to 15th June 2024 to complete the training.
ALL STUDENTS: A laptop or similar device.
ALL STUDENTS: Access to a printer and also to home internet with reasonable speed and reliability.
INSTRUCTOR LED IN CLASS STUDENTS - will also require access to portable WIFI or HOT SPOT as you will need to bring your laptop to each weekly workshop.
INSTRUCTOR LED ONLINE STUDENTS - You will require access to reasonable speed internet, a computer with microphone, speakers and preferably with a webcam. Instructions on accessing weekly workshops, via Microsoft Teams, will be shared closer to starting date.
 
Once registered, students will receive an invitation email to set up access to our Learning Management System (LMS) within 48 business hours of registering. You will need to setup access within 7 days of receiving the email. Once setup, students will have access to the first module only. The remaining modules will be released closer to the start of the course. 
The fee is $399 which includes a $50 non-refundable spot reservation charge.
Payment can be made online with VISA, MASTERCARD & AMEX credit cards.
The fee includes access to the online Learning Management System, electronic resources as required, a student copy of the tax preparation software, plusfor students registered in any INSTRUCTOR LED course, a weekly workshop with one of our expert instructors.
Yes you can, however each registration must be made in the name of the attending student with their personal contact details. If you are an employer paying for your staff to attend and wish to be receipted in the business name, you will need to contact us directly.
Yes. The fee is fully tax deductible on your 2024 tax return.
Students wishing to withdraw before the course commences will be entitled to a full refund of the fee as paid less the $50 Spot Registration Charge. 

Your course is deemed to have commenced either from the activation of your LMS account OR: 
  • for 15 week course students, on 10 February 2024, 
  • for Self-paced learning students on 10 February 2024, and 
  • for 9 week Intensive course students, 1 April 2024.
Students who receive any portion of their fee refunded, will be also be deactivated from the Learning Management System immediately.

View our Terms & Conditions
Students wishing to withdraw once the course has commenced, will not be entitled to a refund. 

Your course is deemed to have commenced either from the activation of your LMS account OR: 
  • for 15 week course students, on 10 February 2024, 
  • for Self-paced learning students on 10 February 2024, and 
  • for 9 week Intensive course students, 1 April 2024.
Students withdrawing after the course has commenced, will continue to have access to all the content available on the Learning Management System until June 30, 2024.

View our Terms & Conditions
As all of our course options have been designed to a specific timeline, requests for transfers between the 15 week and 9 week course options, after Monday, February 05 2024, will not be possible.