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Tax Deductions for Tradies

Common Deductions

Tools and Equipment

  • Hand tools and power tools
  • Safety equipment (boots, glasses, gloves)
  • Items under $300: immediate deduction
  • Items over $300: depreciate over time

Vehicle Expenses

  • Fuel for work travel
  • Rego, insurance, servicing
  • Keep logbook for 12 weeks minimum
  • Or use cents per km method (up to 5,000km)

Work Clothing

  • Trade-specific clothing (hi-vis, steel caps)
  • Uniforms with your logo
  • Sun protection for outdoor work
  • NOT normal clothes even if worn to work

Other Deductions

  • Phone and internet (work portion)
  • Insurance premiums
  • Union and professional fees
  • Training and courses
  • Licenses and renewals
  • Accounting fees
  • Home office expenses (if applicable)

Record Keeping

  • Keep receipts for 5 years
  • Use accounting software
  • Photograph receipts (they fade)
  • Maintain vehicle logbook

What You CAN'T Claim

  • Travel from home to regular workplace
  • Everyday clothing
  • Fines and penalties
  • Personal portion of expenses

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