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D5 Other work-related expenses 2023

Complete question D5 to claim any other work-related expenses you incurred as an employee and have not already claimed.

Last updated 24 May 2023

Things you need to know

Other work-related expenses are expenses you incurred as an employee and have not already claimed anywhere else on your tax return. These include:

  • union fees and subscriptions to trade, business or professional associations
  • overtime meal expenses, provided that
    • you received a genuine overtime meal allowance from your employer that was paid under an industrial law, award or agreement
    • you purchased and consumed a meal during your overtime
    • you have included the amount of the meal allowance as income at question 2, and
    • if your claim was more than $33.25 per meal, you have written evidence, such as receipts, that shows the cost of the meals
      (An amount for overtime meals that has been included as part of your normal salary and wages – for example, under a workplace agreement, is not an overtime meal allowance).
     
  • professional seminars, courses, conferences and workshops
  • reference books, technical journals and trade magazines
  • the work-related portion of tools and equipment and professional libraries; you may be able to claim an immediate deduction for an item that cost $300 or less, otherwise, you claim a deduction for the decline in value of an item over its effective life; for more information, see Guide to depreciating assets 2023
  • the work-related portion of items that protect you from the risk of injury or illness posed by your work or your work environment, such as
    • hard hats, safety glasses and sunscreens
    • other protective items, such as facemasks, that you buy because of COVID-19 and use at work where your employment duties require you to be at your place of work and bring you into close proximity to customers or clients
    • but not protective clothing and footwear, which you claim at question D3
     
  • the work-related portion of the following costs
    • interest on money borrowed to buy a computer
    • repair costs for the computer
    • the decline in value of the computer (you may need to make a balancing adjustment if you no longer own or use the computer and you previously claimed a deduction for its decline in value; for more information, see Guide to depreciating assets 2023)
    • internet access charges
    • phone calls
    • phone rental if you can show you were on call or were regularly required to phone your employer or clients while away from your workplace
    • the decline in value of your home office furniture and fittings
    • heating, cooling, lighting and cleaning costs incurred as a result of working from home
    • COVID-19 test expenses.
     

Did you have any other work-related expenses?

No

Go to question D6 Low-value pool deduction 2023, or return to main menu Individual tax return instructions 2023.

Yes

Read on.

What you need to answer this question

You may need some of the following:

  • your income statement or PAYG payment summary – individual non-business
  • your income statement or PAYG payment summary – foreign employment
  • statements from your bank, building society or credit union
  • receipts, invoices or written evidence from your supplier or association
  • other written evidence.

If your total claim for all work-related expenses exceeds $300, you must have written evidence.

If you received assessable income from your work as an employee outside Australia that is shown on an income statement or a PAYG payment summary – foreign employment, you must claim any work-related expenses you incurred in earning that income at this item provided you have not already claimed the expense at another item.

If you received assessable foreign employment income that is not shown on an income statement or a PAYG payment summary – foreign employment, you must claim your deductions against that income at question 20 Foreign source income and foreign assets or property 2023.

Working from home expenses

For your working from home expenses, you can choose to use one of the 2 methods below as long as you meet the working criteria and record keeping requirements:

  • revised fixed rate method – $0.67 per hour worked from home – this rate covers the additional running expenses that you incur as a result of working from home for energy expenses (electricity and/or gas), internet and data expenses, mobile and/or home phone expenses, stationery and computer consumables. You do not need a separate home office or dedicated work area to use this method. The revised fixed rate method does not cover the decline in value of depreciating assets used for work.
  • actual cost method.

To work out your deduction, you can use the Home office expenses calculatorThis link opens in a new window.

To work out the method that gives you the best deduction outcome for your situation, see Working from home expenses.

Revised fixed rate method

Claim a rate of $0.67 per hour for each hour you worked from home. The revised fixed rate method can be used by multiple people working from home in the same house.

You can choose to use this rate if you:

  • worked from home to fulfil your employment duties and not just carrying out minimal tasks such as occasionally checking emails or taking calls
  • incurred additional running expenses as a result of working from home
  • kept all the relevant records.

The revised fixed rate method covers the following additional running expenses you incur from working at home:

  • energy expenses (electricity and/or gas) for lighting, heating/cooling and to run electronic items used for work
  • internet expenses
  • mobile and/or home phone expenses
  • stationery and computer consumables.

You can't claim a separate deduction for any of these expenses if you use this method.

You can separately claim a deduction for the work-related portion of the decline in value of any depreciating assets that you used to work from home including office furniture, computers and laptops. You can also claim any other running expenses not covered by the rate per hour.

You don't need a dedicated work area or separate home office to use this method.

You must have a record of the actual number of hours you worked from home during the entire income year. This could be a timesheet, roster, a diary or any other document provided it is kept contemporaneously and records the hours you worked from home. If you did not keep records of the actual number of hours worked from home during the period from 1 July 2022 to 28 February 2023, you must have a representative record of the hours you worked from home during that period.

You must also have at least one record for each of the expenses you incurred that the rate per hour includes, for example, if you incurred electricity and internet expenses, keep one bill for each expense.

Actual cost method

Claim the actual work-related portion of all your running expenses, which you need to calculate on a reasonable basis.

You can't claim

You can't claim a deduction for:

  • the cost of entertainment, fines and penalties
  • private expenses, such as childcare expenses and fees paid to social clubs
  • coffee, tea, milk and other general household items your employer may otherwise have provided you with at work
  • costs related to children and their education including setting them up for online learning, teaching them at home or buying equipment such as iPads and desks
  • the decline in value of items primarily for use in your employment if the item was provided to you by your employer, or some or all of the cost of the item was paid or reimbursed by your employer, and the benefit was exempt from fringe benefits tax. Items include laptops, portable printers, personal digital assistants, calculators, mobile phones, computer software, protective clothing, briefcases and tools of trade.

Generally, you can't claim a deduction for occupancy expenses such as rent, rates, mortgage interest and insurance.

For more information, see:

  • TR 93/30 Income tax: deductions for home office expenses
  • TR 2003/16 Income tax: deductibility of protective items
  • TR 2004/6 Income tax: substantiation exception for reasonable travel and overtime meal allowance expenses
  • PS LA 2001/6 Verification approaches for electronic device usage expenses
  • PS LA 2005/7 Substantiating an individual's work-related expenses
  • PCG 2023/1 Claiming a deduction for additional running expenses incurred while working from home – ATO compliance approach.

Completing your tax return

To complete this question, follow the steps below.

Step 1

Add up all the expenses that you can claim at this item.

To work out the amount you can claim for depreciating assets, see:

Step 2

Write the total amount at question D5 – label E.

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