The Australian Taxation Office is on the lookout for anyone trying to claim hefty working-from-home expenses while also maintaining or increasing claims for things like car, travel or clothing expenses.
The ATO had to shift focus last year on getting stimulus benefits out the door as quickly as possible but warns it will return its attention to overclaiming work-related expenses this tax time, noting the pandemic had changed people’s work habits.
If you are working at home, the ATO would not expect to see claims for travelling between worksites, laundering uniforms or business trips. You can’t simply copy and paste previous year’s claims without evidence. If you explain your claim with evidence, you have nothing to fear.
This article appeared in our May 2021 newsletter. The author was Ian Linton.