Performing artist expenses A–F

Agents fees and commissions

You can claim a deduction for fees and commissions paid to your agent. If your employment contract allows you to renegotiate, review or extend the contract, the costs of doing so will be an allowable deduction. These are expenses you incur in gaining your employment income.

If you pay your agency a commission for work you've gained, you can claim a deduction for the amount you incur. To claim a deduction, you must either pay the commission to the agency separately or the agency must deduct the commission from the fee you receive.

You can't claim a deduction for upfront or joining fees paid to an agent or for the cost of engaging an agent to negotiate the terms and conditions of a new contract. This is because you incur the expenses before you start the employment.

 

Audition expenses

You can't claim a deduction for the cost of preparing for or attending auditions, as you incur these expenses in getting work rather than doing work.

 

Car expenses

You can't claim a car expenses deduction for normal trips between your home and regular place of work. These are private expenses, even if you:

• live a long way from your usual or regular workplace
• must work outside normal business hours (for example, on the weekend or late in the evening).

In limited circumstances, you can claim the cost of trips between home and work, such as where you carry bulky tools or equipment for work or where you had shifting places of employment.

To be able to claim a deduction for the cost of trips between home and work while carrying bulky tools or equipment, all the following conditions must be met:

• the tools or equipment are essential to perform your employment duties
• the tools or equipment are bulky, meaning that
  • because of the size and weight, they are awkward to transport
  • they can only be transported conveniently using a motor vehicle
• there is no secure storage for such items at the workplace.

It will not be sufficient if you transport the tools or equipment merely as a matter of choice. For example, if your employer provides secure storage, your decision to transport items home will be a matter of choice.

You have shifting places of work where you have no fixed place of work and you continually travel from one work site to another before returning home.

 

You can also claim a deduction for the cost of using your car when you drive:

• directly between separate jobs on the same day (provided neither of the workplaces is your home) – for example, from your rehearsal for a musical production directly to your second job as a dance teacher
• to and from an alternative workplace for the same employer on the same day – for example, travelling from a costume fitting directly to the commercial shoot.
• from home directly to an alternative workplace – for example, travelling from home to meet a producer at their business premises which is not your regular work location.

To claim a deduction, you must keep records of your car use. You can choose between the logbook method or the cents per kilometre method to work out your deduction if you:

• own the car
• lease the car (directly from the finance company)
• hire the car under a purchase agreement (with the car dealership or a finance company).

You don't own, lease or hire a car you use under a salary sacrifice or novated lease arrangement. This is because it's usually your employer leasing the car from the financing company and making it available for your use. You can't claim a deduction for car expenses but you can claim additional work-related expenses you incur that are associated with your work use of the car such as parking and tolls.

If you use the logbook method, you need to keep a valid logbook to help you work out the percentage of work-related use along with written evidence of your car expenses.

If you use the cents per kilometre method, you can claim a set rate for each work-related kilometre travelled. The maximum number of kilometres you can claim under this method is 5,000. You must be able to show how you work out your kilometres and that they were work-related.

To claim a deduction in your tax return, include the amount of your claim at Work-related car expenses. The Work-related car expenses calculator can help you work out the amount you can claim as a deduction.

If you claim a deduction for your work-related car expenses using one of the above methods, you can’t claim any further deductions in the same tax return for the same car. For example, petrol, servicing, decline in value, and insurance costs. You must use the same method for all claims for the same car, even if the claims are for a different employment or business use.

You can’t use the cents per kilometre or logbook methods to work out your claim for a:

• motorcycle or similar vehicle
• vehicle with a carrying capacity of one tonne or more (such as a ute)
• vehicle that can transport 9 passengers (including the driver) or more (such as a minibus).

For these vehicles, you can claim the actual expenses you incur for your work-related travel. This includes costs such as fuel, oil, insurance, and loan interest along with the decline in value of the vehicle. You must keep receipts for all your expenses and records to show your work-related use of the vehicle. Although you are not required to keep a logbook, it is the easiest way to calculate your work-related use of the vehicle.

To claim a deduction for actual expenses you incur for a vehicle not defined as a car, include the amount at Work-related travel expenses.

 

Child care, school fees and other education expenses

You can't claim a deduction for the cost of child care (including school holidays and before and after school care) when you're working. It's a private expense, and the expenses have no direct connection to earning your income.

You can't claim a deduction for the cost of educating your children (or any other students) including school fees, university fees and TAFE fees. You also can't claim other expenses you incur for your children's education, for example, the decline in value of iPads, laptops or desks, calculators, notebooks and pens. These are private expenses that are not connected with earning your employment income.

Clothing and uniform expenses (including footwear)

With a few exceptions, clothing can't be deducted as a work-related expense.

Generally, you can't claim conventional clothing (including footwear) as a work-related expense, even if your employer requires you to wear it and you only wear these items of clothing at work.

'Conventional clothing' is everyday clothing worn by people regardless of their occupation – for example, black pants worn by a stage manager or gym clothes worn by employee performing artists.

 

You can claim a deduction for the cost of buying or hiring costumes, for example, a clown costume. You may also be able to claim a deduction for the cost of conventional clothing bought or hired as a costume for a particular role.

 

You can claim a deduction for costs you incur to buy, hire, repair or replace clothing, uniforms and footwear you wear at work if it's in one of the following categories:

• protective clothing – clothing that has protective features or functions that you wear to protect you from specific risks of injury or illness at work. For example, cleaning aprons, non-slip shoes or smocks worn to stop you coming into contact with harmful substance. Conventional clothes you wear at work are not regarded as protective clothing if they lack protective qualities designed for the risks of your work. This includes jeans, drill shirts, shorts, trousers, socks, closed shoes.
• occupation specific – clothing that distinctly identifies you as a person associated with a particular profession, trade or occupation. For example, a judge's robes or a chef's chequered pants. Items traditionally worn in a profession are not occupation-specific where the clothing is worn by multiple professions.
• a compulsory uniform – clothing that your employer strictly and consistently enforces you wear by workplace agreement or policy and distinctly identifies either
  • you as an employee working for a particular employer
  • the products or services your employer provides
• a non-compulsory uniform – a uniform that is not compulsory to wear and that your employer registers on the Register of Approved Occupational Clothing.

You can’t claim a deduction if your employer buys, repairs or replaces your clothing.

Coaching classes

You can claim a deduction for the cost of training to maintain existing skills or to acquire or improve related skills. For example, singing, acting or dancing lessons.

You can also claim a deduction for the cost of acquiring special skills required for a particular role.

Drivers licence

You can't claim a deduction for the cost to get or renew your drivers licence, even if you must have it as a condition of employment. This is a private expense.

You can claim a deduction for additional costs you incur to get a special licence or condition on your licence to perform your work duties. For example, the cost you incur to get a heavy vehicle permit.

You can't claim a deduction if your employer pays for or reimburses you for the cost to obtain a special license or condition.

Entertainment and social functions

You can't claim a deduction for the cost of any entertainment, fundraising or social functions. This applies even if they are compulsory or you discuss work matters at the event.

Entertainment and social functions include the cost of:

• work breakfasts, lunches or dinners
• attendance at sporting events as a spectator
• gala or social nights
• concerts or dances
• cocktail parties
• other similar types of functions or events.

These are private expenses because these events do not have a direct connection to your income-producing activities.

You also can’t claim the cost of travelling to and from functions.

Fines and penalties

You can't claim a deduction for any fines or penalties whether they are incurred in connection with work, or for any other reason. Fines may include parking and speeding fines or penalties.

First aid courses

You can claim a deduction for the cost of first aid training courses if you are both:

• a designated first aid person
• need to complete a first aid training course to assist in emergency work situations.

You can’t claim a deduction if your employer pays for or reimburses you for the cost of the course.

Fitness expenses

You generally can’t claim gym and fitness expenses (such as skipping ropes, weights and other fitness equipment) as they are private expenses. This is the case even if you need to pass medical examinations and fitness tests to maintain your employment for your role.

You can claim a deduction in very limited circumstances. This will be the case where your role requires you to both:

• maintain an extremely high level of fitness well above the general occupation standard
• perform ongoing strenuous physical activities as an essential and regular part of your role.

For example, trapeze artists or tumblers working in a circus.

You can’t in any circumstances claim a deduction for expenses you incur to buy conventional clothing you use in the course of keeping fit. This includes tracksuits, running or aerobic shoes, socks, sporting shirts or shorts. These are private expenses.

 

 

For more performing artists expenses, see:

• Performing artist expenses G–O
• Performing artist expenses P–S
• Performing artist expenses T–W