More and more people are choosing to work from home these days and it’s not hard to see why. Running a home office offers a lot of perks. There’s the flexibility of not being in an office, afternoon naps and you can spend the day in your pyjamas! Then there are the tax benefits. Even if you do just a couple of hours per week, you could be eligible to claim more on your tax return.
There are the obvious things, like office items such as laptops, printers, scanners and shredders.
Home office furniture such as desks, chairs, heaters or light fittings, even desk lamps are also on the list of deductions you can claim as a depreciation. If you’ve needed to repair office furniture or equipment, or work-related items like computers or software, that’s included too.
But have you thought about your aircon, lighting and heating bills? Keep a diary of the time you work from home and claim a 34 cents per hour deduction for electricity and gas.
Take note of the time that you use the Internet, phone and computer usage for work versus personal usage and your accountant can calculate deductions for these too.
Just remember, the Australian Tax Office (ATO) could ask you to prove your claims. If you’re unsure, your ITP accountant can talk you through the logistics; and if you use our assisted online tax data tool, you won’t even need to change out of those pyjamas!