{"id":280635,"date":"2024-07-10T13:24:27","date_gmt":"2024-07-10T01:24:27","guid":{"rendered":"https:\/\/www.reckon.com\/au\/?post_type=sbh&p=280635"},"modified":"2024-12-09T13:53:56","modified_gmt":"2024-12-09T01:53:56","slug":"claiming-home-office-expenses","status":"publish","type":"sbh","link":"https:\/\/www.reckon.com\/au\/small-business-resources\/end-of-financial-year\/claiming-home-office-expenses\/","title":{"rendered":"Claiming home office expenses"},"content":{"rendered":"

[et_pb_section fb_built=”1″ custom_padding_last_edited=”on|phone” _builder_version=”4.23″ custom_padding_tablet=”” custom_padding_phone=”0px||||false|false” locked=”off” global_colors_info=”{}” da_is_popup=”off” da_exit_intent=”off” da_has_close=”on” da_alt_close=”off” da_dark_close=”off” da_not_modal=”on” da_is_singular=”off” da_with_loader=”off” da_has_shadow=”on” da_disable_devices=”off|off|off”][et_pb_row column_structure=”1_3,2_3″ _builder_version=”4.23″ background_size=”initial” background_position=”top_left” background_repeat=”repeat” width=”100%” custom_padding=”||0px||false|false” global_colors_info=”{}”][et_pb_column type=”1_3″ module_class=”table-contents” _builder_version=”4.23″ background_color=”#f3f2f6″ custom_padding=”25px||25px||true|false” sticky_position=”top” sticky_limit_bottom=”section” sticky_position_tablet=”top” sticky_position_phone=”none” sticky_position_last_edited=”on|desktop” pac_dcm_carousel_specific_module_num=”0″ border_radii=”on|24px|24px|24px|24px” global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text _builder_version=”4.23″ text_font=”||||||||” global_colors_info=”{}” background__hover_enabled=”on|desktop”][\/et_pb_text][\/et_pb_column][et_pb_column type=”2_3″ _builder_version=”4.16″ custom_padding=”|||” pac_dcm_carousel_specific_module_num=”0″ global_colors_info=”{}” custom_padding__hover=”|||”][et_pb_text admin_label=”Copy paste body text here” _builder_version=”4.25.0″ header_2_font_size=”32px” header_2_font_size_tablet=”30px” header_2_font_size_phone=”26px” header_2_font_size_last_edited=”on|tablet” locked=”off” global_colors_info=”{}”]<\/p>\n

Claiming home office expenses as a\u00a0tax deduction<\/strong><\/a>\u00a0is not only your right, but also an avenue for reducing taxable income. We\u2019ll show you how to claim home office expenses on your taxes, so you can free up income and cash to grow your small business.<\/p>\n

The Australian Tax Office (ATO) is progressively cracking down on \u2018stretched\u2019 tax claims such as uniforms, cars, and home office expenses. So, while you should be taking advantage of claims you\u2019re entitled to as a tax payer, you should also be sure you\u2019re inside the acceptable and honest parameters.<\/p>\n

As a business owner, tax offsets are there for a legitimate reason, so let\u2019s discover how much can you claim for a home office or just working from home.<\/p>\n

The 3 modes of working from home<\/h2>\n

Before we jump into claiming home office expenses, do you know which category you\u2019re in? The three classifications will dictate the types of home office tax deductions you can make and will apply certain limitations and allowances \u2013 so be sure to know where you fall.<\/p>\n

According to the ATO the three types are:<\/p>\n

    \n
  1. Home is your principal place of work and you have a dedicated work area<\/strong>\u00a0that\u2019s unlikely to be suitable for domestic use.<\/li>\n
  2. Home is not your principal place of work but you have a dedicated work area<\/strong>\u00a0\u2013 for example a study.<\/li>\n
  3. You work at home but you don\u2019t have a dedicated work area<\/strong>\u00a0\u2013 for example, you use a room with a dual purpose such as a lounge room.<\/li>\n<\/ol>\n

    What expenses can you claim for a home office?<\/h2>\n

    Almost anything you use as \u2018home office running expenses\u2019 that directly relates to your work and income can be claimed as a deduction.<\/p>\n

    1) Tax deduction for home office furniture<\/h3>\n

    Claiming a tax deduction on home office furniture is your right as a business owner, and you should take full advantage of it, without bending the truth.<\/p>\n

    Take stock of what you might use in your home-based office:<\/p>\n