You must keep records for depreciating assets from the time you buy them.
You need to keep these records for 5 years from the date of your last claim for decline in value.
Your records can be in paper or electronic form.
We may ask that you show us your records during the 5 years. It is important that you have sufficient evidence to support your claims.
For depreciating assets, you must keep records that include:
- when and where you buy the item and its cost
- when you started using the item for a work-related purpose
- how you work out your percentage of work-related use, such as a diary that shows the purpose of and use of the item for work
- one of either
- a copy of the Commissioner of Taxations determination of effective life you use to work out the decline in value of the item
- how you work out the effective life if you don't use the Commissioners determination
- which method you chose to calculate the decline in value.
Records for percentage of work use
You must keep records that show how you work out your percentage of work-related use, such as a diary.
If you are keeping a diary, you should:
- keep it for a continuous 4-week period
- fill it in at the time you undertake the work activity, not retrospectively
- include sufficient detail to support your calculations.
For more on the format and importance of keeping records, see records you need to keep.
You can record your expenses or upload a photo of receipts or invoices in the myDeductions tool in the ATO app.Which records to keep for depreciating assets so you can claim a deduction and show how you calculate work use.