Guide to claiming deductions

Managing your own tax affairs

Expenses for managing your own tax affairs include expenses for:

• preparing and lodging your tax return and activity statements
• travel, to the extent that it is associated with obtaining tax advice - for example, the travel costs of attending a meeting with a recognised tax adviser
• appealing to the Administrative Appeals Tribunal or courts in relation to your tax affairs
• obtaining a valuation needed for a deductible gift or donation of property or for a deduction for entering into a conservation covenant.

Expenses relating to preparing and lodging your tax return and activity statements include costs associated with:

• buying tax reference material
• lodging your tax return through a registered tax agent
• obtaining tax advice from a recognised tax adviser - a registered tax agent, barrister or solicitor
• dealing with us about your tax affairs.

You can claim fees paid to a recognised tax adviser for preparing or lodging your tax return - generally you incur the fees in the year you pay them.

You can search for registered tax agents at www.tpb.gov.au or you can check with the Tax Practitioners Board by phoning 1300 362 829.

Example

On 14 July, Louise visited a registered tax agent to prepare and lodge her previous year's tax return. The tax agent lodged her tax return in September and charged Louise $220, which she paid immediately. Louise can claim a deduction for the tax agent's fee on her next tax return.

You cannot claim for the cost of tax advice given by a person who is not a recognised tax adviser. Tax shortfall and other penalties for failing to meet your obligations are not deductible.

Claiming deductions - home

Sections within Cost of managing tax affairs

• Managing your own tax affairs
• Other tax expenses