ITR checklist

Individual Tax Return Checklist

A handy checklist of information pertinent to you return

Common Work Related Claims Made by Individuals

The following outlines common types of deductible expenses claimed by individual taxpayers, such as employees and rental property owners, plus some strategies that can be adopted to increase deductions for the 2012/2013 income year.

Clothing Expenses

Purchase or pay for work-related clothing expenses prior to the end of the income year, such as:

chkbox Compulsory, non compulsory and registered, occupational specific and protective clothing;
chkbox Other expenses associated with such work related clothing such as dry cleaning, laundry and repair expenses

Self Education Expenses

Consider pre-paying the following self education items before the end of the year:

chkbox €Course fees (but not HECS-HELP), student union fees, and tutorial fees.
chkbox Interest on borrowings used to pay for any deductible self education expense

Also bring forward purchases of stationery and text books (i.e. those that are not required to be depreciated)

Other work-related expenses

chkbox Employees can prepay any of the following expenses prior to 1st July 2013.
chkbox Union fees
chkbox Subscriptions to trade and professional or business associations;
chkbox and newspaper subscriptions
chkbox Seminars and conferences;
chkbox Income protection insurance (excluding death, trauma and total/permanent disability).

Information Required

We will need you to bring some information to assist us in preparing you income tax return. Please check the following and bring along payment summaries, statements, accounts, receipts, etc. To help us prepare the return.


chkbox Payment summaries for salary and wages
chkbox Lump sum and termination payments;
chkbox Government pensions and allowances
chkbox Other pensions and or annuities
chkbox Allowances (e.g. entertainment, car, tools)
chkbox Interest, rent and dividends
chkbox Distributions from partnerships, trusts
chkbox Details of any assets sold that were either used for income earning purposes or which may be caught by capital gains tax.

Deductions in addition to those mentioned above

chkbox Award transport claims
chkbox Bridge/road tolls (travelling on business)
chkbox Car parking
chkbox Conventions, conferences and seminars
chkbox Depreciation of library, tools, business equipment, incl. portion of home computer
chkbox Gifts or donations
chkbox Home office running expenses
chkbox A log of hours spent working from home for work purposes
chkbox Interest and dividends deductions
chkbox Ongoing management fees
chkbox Interest on borrowings to acquire shares
chkbox Advice relating to changing investments (but not setting them up)
chkbox Interest on loans to purchase equipment or income earning investments;
chkbox Motor vehicle expenses (business) log book method required plus proof of ownership of the vehicle.
chkbox Overtime meal allowances
chkbox Rental property expenses – including:

chkbox Advertising
chkbox Council/water rates
chkbox Insurance
chkbox Land tax
chkbox Interest
chkbox Legal expenses/management fees
chkbox Genuine repairs and maintenance
chkbox Telephone expenses
chkbox Travelling to inspect property

chkbox Superannuation contributions by sole traders or substantially unsupported taxpayers
chkbox Sun protection items
chkbox Tax agent fees
chkbox Telephone expenses (business)

Information Checklist

chkbox PAYG summary or Centrelink certificate for you and/or your partner
chkbox Private health fund tax statement, whether you have claimed the rebate or not. Important: we cannot lodge your return without the statement
chkbox Log books for your motor vehicle, telephones and home office hours
chkbox Bank interest and dividend advice forms. Managed fund tax statements.
chkbox Receipts for work related deductions including income protection insurance
chkbox Rental property information (i.e. Receipts and mortgage statements)
chkbox Rental property management statement or your own records
chkbox Travel diaries

Audits 2013

The Taxation Office will be conducting more work related audits this year and the following information will give you some idea of where that focus may be.

Once again they are putting added effort into reviewing claims for work related expenses made in returns that are lodged late.(more reason for you to be on time with your work)

They will also focus on the following :

Every worker in the building trade will be under scrutiny this year so please make sure you have receipts for all of your claims.

The other areas that will be closely reviewed will be home internet, mobile phones, motor vehicle expenses (don’t forget to keep log books) More scrutiny on self education  expenses especially where students commence work whilst doing their course.


Car expenses may be claimed using any one of the four methods below:

chkbox Log book
chkbox Cents-per-kilometre
chkbox One-third actual expense
chkbox 12% original value

Log Book Method

Log books are required for at least a 13 week period in the first year, and then every five years or every new car.
Log books are required for additional cars acquired for which the log book method is used.
Odometer records are required for the start and end of the period you owned or leased the car.
Written evidence of all other expenses is required. E.g. Receipts

 Remember that you must provide your car log book and documents proving your ownership of the vehicle with your 2012-2013 tax return if you use the log book method for calculating work related car expenses this year.

You are unable to claim for a vehicle you do not own

Cents per Kilometre Method

(if business use is 5,000km or less your claim is limited to 5,000km)

The claim is based on a set rate for each business kilometre.
Substantiation records are required.
The number of business kilometres is based on reasonable estimate, but a log book is preferred.

12% of original value method

(Where business use exceeds 5,000km)

The claim for car expenses is based on 12% of the original value.
The value of the car is subject to luxury car limits.
Substantiation records are not required.
The number of business kilometres based on reasonable estimation, but a log book is preferred.

One- third of actual car expenses method

(Where business use exceeds 5,000km)

The claim for car expenses is based on one third of each car expense.
Logbook records are not required.
Fuel and oil expenses must be substantiated by written evidence or receipts as well as all other expenses.
Before you claim car expenses, you need to ensure that the travel you are claim is work-related travel and is deductible.

You cannot claim the cost of normal trips between home and work as it is private and not deductible even if:

You do small tasks while travelling to and from work such as collecting mail.
You travel outside normal employment hour such as shift work.
You are required to be on call.
You live a long distance from your work place, or there is no public transport.

Self Education

You need to ensure that there is a sufficient connection between these expenses and your work activities at the time the expenses were incurred.
You cannot claim a deduction for self-education expenses if the study is:

chkbox To enable you to get employment
chkbox To obtain new employment or
chkbox To open up a new income-earning activity

Other Work Related Expenses

Decline in Value

You can only claim a deduction for the decline in value of any assets costing more than $300 that you use in your work-related activities, however you can claim a 100% deduction for the cost of purchasing an item(s) which you acquire to use for your work-related activities, if the cost is $300 or less

You must apportion the amount of your claim where an asset has been used in part for private purposes or was not available for use during all of the financial year.


You must apportion expenses, such as mobile phone calls, home telephone calls and internet use between business and private use.

You need to keep either itemised accounts and/or a diary to support the basis of apportionment, you need to keep a record for representative period and a reasonable duration (generally four weeks) of the calls made and or time spent on the activity.

Home Office Expenses

You can only claim occupancy expenses (such as interest on mortgage or rent paid) where your home office is considered a place of business. Refer to Taxation Ruling TR93/30-Deductions for home office expenses for further information about the limited circumstances in which you may claim for occupancy expenses and how to calculate you claim – more information at

Remember if your property was purchased after September 1985, it may become subject to Capital Gains Tax when you sell it

If you are claiming minor use for your home office, you can calculate your claim by using a fixed rate of 34 cents per hour. You need to keep a record for a representative period and reasonable duration (generally four weeks) of the time spent in your home office on employment activities

Call for an appointment today

+61 8 8261 9714