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  • Tax Time Toolkit – Retail

    This Tax Time Toolkit for the retail industry contains practical and tailored information to help those in the retail industry understand what they can and can’t claim in their tax return.

    You can download a copy in portable document format, see Tax Time Toolkit – Retail (PDF, 776KB)This link will download a file.

    We encourage you to share this information with your staff, clients, members and networks.

    You’ll find tips and guides as well as ‘ready to use’ messages you can adapt for your own communication channels.

    In this guide:

    Occupation guides

    Helpful occupation guides and information for tax time:

    Common claims

    Common deductions those in the retail industry claim:

    Ready-to-use Tax Time messages

    Below are a range of messages you can use (or adapt) for your own communication channels, such as websites, intranets, newsletters and social media platforms.

    Example: article suggestion

    Headline: Take the guess work out of claiming work-related expenses this tax time

    There are a lot of misconceptions about what you can and can’t claim as a work-related expense. Don’t rely on your mate’s advice - check the below tips before completing your tax return.

    Clothing expenses

    With a few exceptions, clothing is a private expense. Common errors include employees incorrectly claiming:

    • conventional clothing, such as plain white shirts or black pants.
    • the purchase of clothing sold in the store that they work.

    You can’t claim a deduction for these items, even if your employer requires you to wear them and you only wear these items of clothing at work.

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

    • a compulsory uniform, 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, that your employer listed on the Register of Approved Occupational Clothing with AusIndustry.

    Car expenses

    You may be able to claim work-related car expenses if you use your car to drive:

    • directly between separate jobs on the same day (for example, travelling to your second job as a waiter)
    • to and from an alternate workplace for the same employer on the same day (for example, driving between separate retail stores for the same employer).

    You can’t claim the cost of normal trips between home and work, even if you live a long way from your usual workplace or have to work outside normal business hours, for example, late-night shopping or weekend shifts.

    Still unsure about what you can claim? Visit ATO’s retail workers guide at ato.gov.au/retail21

    End of example

    Suggested social media posts for Facebook, Twitter and LinkedIn profiles

    Example: social media

    Attention retail employees! It pays to get across the deductions you can claim this tax time.

    • If you work more than one job, you can claim the cost of travelling directly between workplaces on the same day.
    • You can’t claim the cost of normal trips between home and work, even if you have to work outside of normal business hours (for example, late-night shopping).
    • You can’t claim the cost of buying or cleaning conventional clothing (for example, black pants or a white shirt), even if you’re required to wear it or you only wear it for work. This is the case even if you’re required to buy and wear clothing sold at the store where you work.
    • You can’t claim a deduction for fashion, hair or cosmetics products, even if you work in a store that sells them.

    Still unsure about what you can claim? Visit ATO’s retail workers guide at ato.gov.au/retail21

    Example: social media

    Ensure this tax time has no unwanted surprises for you in store. Check out the ATO’s retail work-related expense guide at ato.gov.au/retail21

    Example: social media

    Ditch the shoebox full of receipts and use the myDeductions tool in the ATO app which makes it easy to keep track of your work-related expenses. For more information check out ato.gov.au/myDeductions

    Example: social media

    Not sure what deductions you can claim in your tax return? The ATO can help. Download the ATO’s retail work-related expenses guide at ato.gov.au/retail21 to understand what you can and can’t claim.

    Example: social media

    Surviving the end of year sales might have been a challenge. Let the ATO take the stress out of completing your tax return. Check out the Retail industry specific guide at ato.gov.au/retail21 to understand what you can and can’t claim.

    End of example

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      Last modified: 06 Apr 2021QC 59368