Cost of managing tax affairs

You can claim a deduction for expenses you incur in managing your own tax affairs, such as the cost to lodge through a registered agent. Costs you can claim a deduction for include:

• those associated with preparing and lodging your tax return and activity statements, such as  
  • buying tax reference material
  • tax return preparation courses
  • lodging your tax return through a registered tax agent
  • getting tax advice from a recognised tax adviser (a registered tax agent, barrister or solicitor)
  • dealing with us about your tax affairs
  • buying software that allows you to prepare and lodge your tax return.
    You can only claim a portion of the cost if you also use the software for other purposes.
• travel costs you incur to get tax advice – for example, the travel costs of attending a meeting with a recognised tax adviser
• litigation costs including court and Administrative Appeals Tribunal fees, solicitor, barrister and other legal costs
• getting a valuation for a deductible gift or donation of property, or for a deduction for entering into a conservation covenant
• an interest charge we impose
• some fees you incur when you pay your tax obligations by card, such as  
  • credit and debit card fees for a business tax liability – for example, GST
  • debit card fees when paying an individual tax liability
• costs you incur in complying with your legal obligations relating to another person's or other entity's tax affairs.

If you receive a single invoice for preparing your tax returns or the tax returns for associated persons (such as a spouse), you need to split the fees you incur. You must also:

• be able to show how you work out the cost for each
• keep evidence to support the deduction you claim.

You generally incur the fees in the income year you pay them.