Things to know
To claim a deduction at this section you must have incurred expenses for managing your tax affairs, including:
- the preparation and lodgment of your tax return and activity statements, including the costs associated with
- buying tax reference material
- tax return preparation courses
- lodging your tax return through a registered tax agent
- obtaining tax advice from a recognised tax adviser (fees you paid to a recognised tax adviser are deductible in the year you incurred them)
A recognised tax adviser is a registered tax agent, BAS agent, qualified tax relevant provider, or legal practitioner. You can see a list of registered tax agents at Tax Practitioners boardExternal Link. - dealing with us about your tax affairs
- purchasing software to allow the completion and lodgment of your tax return – you must apportion the cost if you also used the software for other purposes
- travel to obtain tax advice from a recognised tax adviser
- obtaining a valuation needed for a
- deductible donation of property, to learn more visit How donors get valuations.
- deduction for entering into a conservation covenant; to learn more visit Seeking a valuation
- certain interest charges we imposed on you
- litigation costs you incurred in managing your tax affairs, including
- court fees
- Administrative Appeals Tribunal fees
- Administrative Review Tribunal fees (replaced Administrative Appeals Tribunal from 14 October 2024)
- solicitor, barrister and other legal costs
- amounts we charged you for underestimating a varied goods and services tax (GST) instalment or pay as you go (PAYG) instalment
- expenses for complying with your legal obligations relating to another person's or other entity’s tax affairs, including
- complying with the PAYG withholding obligations – for example, where you withheld tax from a payment to a supplier because the supplier didn't quote an Australian business number (ABN)
- providing information that we requested about another taxpayer.
You incurred an expense in 2024–25 when:
- you're charged and you paid for the expense in 2024–25
- you received a bill or invoice for an expense in 2024–25 that you're liable to pay (even if you paid it after 30 June 2025).
What you can't claim as a cost of managing your tax affairs
You can't claim a deduction for:
- tax shortfall and other penalties for failing to meet your obligations
- tax advice you received from a person who isn't a recognised tax adviser
- receiving financial advice that isn't in relation to managing your tax affairs
- any judgment debt interest that you had to pay as a result of a court case involving your tax affairs.
Completing this section
We pre-fill your tax return with cost of managing your tax affairs information:
- you uploaded from myDeductions
- for interest and other charges we imposed on you. You can find more information in Calculate and report ATO interest.
Check them and add any costs of managing your tax affairs that haven't pre-filled.
To personalise your tax return to show cost of managing tax affairs, at Personalise return select:
- You had deductions you want to claim
- Gifts, donations, interest, dividends, and the cost of managing your tax affairs
To show your costs of your managing tax affairs, at Prepare return select 'Add/Edit' at the Deductions banner.
At the Cost of managing tax affairs banner:
- For each cost of managing tax affairs expense that hasn't pre-filled in your tax return, select Add.
- Select the Type of deduction and enter information into the corresponding fields.
The Depreciation and capital allowances tool can help you work out any decline in value deduction. It can also work out any deductible balancing adjustment when you stop holding a depreciating asset. Access this tool in the Deductions section.
Fields from this tool can't be adjusted in myTax. To make any adjustments, or to add new assets to the tool, select the 'Use the depreciation and capital allowances tool' link. - Select Save.
- Select Save and continue when you have completed the Deductions section.