Deductions Checklist 2020
July 8, 2020
Photo by The New York Public Library on Unsplash

The list of deductions that are available to you are as always linked to your employment. If you can show how they helped you earn your income, how you calculated them and what supporting documents that you posses then these will be used to reduce the amount of tax that you pay.

So the following, whilst not exhaustive will assist.

And whilst we are talking deductions. In our experience the TAO are pretty good at listening and giving some ground where you are honest. Whee you lie and try top cover up some issues they see that as a direct attempt at evasion and will come down hard. So please review the details below with that at the forefront of your mind.

Tax Organiser

To speed your tax refund, the following checklist will assist you get through the tedious task as painlessly as possible.

♦ Your PAYG summary
Can be used as evidence for some deductions. It may, for example, show your union fees or other deductions from your pay.

♦ Work Relates Expenses
Claims for work related expenses that you incur while doing your job. The expense is incurred when you have spent the money.

If your total claims exceed $300, keep receipts & written evidence to prove the total claim. Use a Substantiation Diary to prove your claims where expenses are no more than $10 each and which together add to no more than $200.

And use the deduction checklist below to ensure that you’re claiming everything that you’re entitled to.

♦ Income Splitting 
Consider setting up your affairs to allow for income splitting between you and your partner. As an example, any investments should be in the name of the lowest income earner. But generally any  savings or investment interest and dividends, are earned by the person on a lower marginal tax rate.

If you have significant investments and there is someone at risk of a creditor enforcing collection on a debt then please speak about how a family trust works.

♦ Record Keeping
Keeping receipts are crucial to the success of your claims for deductions. Consider sorting your work related receipts and other documentation into six categories using envelopes labelled as follows:

⇒  Car expenses
⇒  Travel expenses
⇒  Clothing and laundry expenses
⇒  Self-education expenses
⇒  Other work related expenses
⇒  Income documentation

Store your receipts in alphabetical/chronological order, with your most recent receipt at the front of each section.

Be Wary

Photo by Michelle Tresemer on Unsplash

COVID has brought some challenges to completing your returns. Some expenses that would normally be there wont be and some that you did not think of will.


  • Be careful with MV expenses. many people will traditionally claim 5,000 kms barbecue its relatively painless to do so. However with so many weeks of lock-down in the year the ATO will be expecting a reduction in these claims.
  • Home office expenses are available but there are rules. Actual costs or a cents per hour are the options. Please get advice before seeing us sop that you can get the right information together.
  • Substantiation will be really important this year. Make sure have it all before claiming anything.

The checklist below will help get these right and ensure you don’t miss out on anything.

Items to Discuss with US.

Photo by Cristian Newman on Unsplash

We can help with all of your financial affairs. Please feel free to see what we can do in any of the following areas.

√  Audits and reviews including debt negotiation
√  Bookkeeping
√  Capital gains tax
√  Financial strategies
√  Fringe benefits tax
√  Income tax planning
√  Insurance
√  PAYG Installments
√  Substantiation of your affairs to the ATO or SRO
√  Superannuation
√  Withholding tax

The attached checklist will help you plan your tax affairs and make it easier for us to properly assist.,

Of course if at any time you need out guidance, please don’t hesitate to call.

Get the Checklist here: