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Edited version of private advice
Authorisation Number: 1051619638020
Date of advice: 12 December 2019
Ruling
Subject: Home office running and occupancy expenses
Question
Can you claim a deduction for running and occupancy expenses in relation to your home officespace?
Answer
Yes
Taxation Ruling TR 93/30 Income tax: deductions for home office expenses (TR 93/30), discusses home office expenses. Where a home office has the character of a place of business, a proportion of running costs and occupancy costs can be claimed as a deduction.
Having considered your circumstances, the Commissioner accepts that you are entitled to a deduction for the running and occupancy expenses under section 8-1 of the Income Tax Assessment Act 1997.
Further information on working from home and home office expenses can be found by searching QC 31977 and QC 23624 on ato.gov.au
This ruling applies for the following periods:
Year ending 30 June 2018
Year ending 30 June 2019
The scheme commences on:
1 July 2017
Relevant facts and circumstances
You are employed to service the City A, metropolitan area.
Your employer is based in City B, X km away from City A.
Your home is based within the City A metropolitan area.
Your employer has stated they do not provide office space in City A.
Your home office is set aside and is not used for any other purpose.
Your home office is used for writing reports and in-person client meetings.
The office space set aside represents 9.5% of the overall floor space of your unit.
Relevant legislative provisions
Income tax Assessment Act 1997 Section 8-1