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Edited version of your written advice
Authorisation Number: 1012867029401
Date of advice: 28 August 2015
Ruling
Subject: Legal Expenses
Question
Are you entitled to claim a deduction for legal expenses?
Answer
Yes
This ruling applies for the following period
Year ended 30 June 2015
The scheme commenced on
1 July 2014
Relevant facts
You obtained legal advice in relation to obtaining back pay from your employer and because a co-worker had expressed a concern about you working in the workplace.
Relevant legislative provisions
Income Tax Assessment Act 1997 Section 8-1
Reasons for decision
Section 8-1 of the Income Tax Assessment Act 1997 allows a person to claim a loss or outgoing that is incurred in gaining or producing assessable income so long as the loss or outgoing is not of a capital, private or domestic nature.
In your case, as the expenses were directly related to your employment and incurred in order for you to receive assessable income, you are entitled to a deduction for the legal expenses.