Most people who miss out at tax time are not missing a loophole. They are missing receipts, a work-from-home diary, or a deduction they did not know they could claim.
This guide covers the legitimate ways to get a bigger refund on your 2025-26 return and set up 2026-27: work deductions, record keeping, car and phone claims, super contributions, offsets and donations. All figures were checked against ATO tax rates and other ATO pages on 7 October 2026.
It is written for employees and investors lodging an individual return. For a full list of what different jobs can claim, see our guide to work-related tax deductions.
Key takeaways
- Working from home? The fixed rate is 70c per work hour, and you need a record of the actual hours.
- Work items costing $300 or less can be claimed in full; dearer items are depreciated.
- Cents per km is 88c for 2025-26 and 91c for 2026-27, capped at 5,000 km – a logbook can beat it for heavy users.
- The concessional super cap is $30,000 for 2025-26 and $32,500 for 2026-27, and unused amounts can carry forward if your balance is under $500,000.
- Low-income earners may get a government co-contribution of up to $500, and a spouse contribution can earn an offset of up to $540.
- Wait until late July so pre-filled data is complete – early lodgers are twice as likely to make mistakes.
Refund boosters at a glance
| Item | 2025-26 | 2026-27 |
|---|---|---|
| WFH fixed rate | 70c per hour | 70c per hour |
| Car – cents per km | 88c, max 5,000 km | 91c, max 5,000 km |
| Concessional super cap | $30,000 | $32,500 |
| Co-contribution income range | $47,488 to $62,488 | $49,293 to $64,293 |
| Spouse contribution offset | Up to $540 | – |
| Low income tax offset | Up to $700 | Up to $700 |
Source: ATO fixed rate method, ATO D1 car expenses 2026, ATO contributions caps, ATO government contributions, ATO spouse contributions offset, ATO LITO, checked 7 October 2026. The spouse offset was only confirmed for 2025-26.
Are you claiming every work-related expense?
A deduction reduces your taxable income, so the refund it creates depends on your marginal rate. For 2025-26, income between $45,001 and $135,000 is taxed at 30c in the dollar plus the 2% Medicare levy, so a $500 deduction is worth about $160.
- Tools and equipment: items costing $300 or less that you mainly use for work can be claimed in full, per the ATO $300 rule. A laptop above $300 is depreciated.
- Uniforms: compulsory or registered uniforms and protective clothing can be claimed, plus laundry at $1 per work-only load. From 2026-27 you need written evidence for all clothing and laundry claims.
- Memberships and subscriptions: union fees and professional association fees are generally deductible.
- Self-education: deductible if the course maintains or improves skills for your current job, but not if it is to get a new job. See our self-education guide.
- Work travel: overnight work travel can be deductible. The ATO’s travel expenses guide sets out the record rules.
How should you claim working from home?
The fixed rate method is 70c for each hour worked from home. It covers energy, internet, phone and stationery, so you cannot claim those separately. You need a record of the actual hours, such as a timesheet or diary.
The actual cost method can produce a bigger claim if your costs are high, but needs detailed records. Our home office deductions guide compares both.
Would a logbook beat cents per km?
The cents per km method uses 88c per km for 2025-26 (91c for 2026-27) on up to 5,000 work km. The logbook method lets you claim the work-use share of all running costs and depreciation. You keep the logbook for a continuous 12 weeks and it can be used for up to five years.
For example, a worker with 10,000 work km and $9,000 of car costs at 75% work use could claim $6,750 with a logbook, against $4,400 on cents per km (5,000 x 88c).
| Method | Calculation | Claim |
|---|---|---|
| Cents per km (2025-26) | 5,000 km cap x 88c | $4,400 |
| Logbook | 75% x $9,000 running costs | $6,750 |
| Difference | $6,750 – $4,400 | $2,350 |
Are you claiming phone and internet correctly?
Only the work share counts. The ATO says to work out your work-use percentage over a continuous 4-week period and apply it to the full year, per its phone and internet page. If you use the 70c fixed rate, phone and internet are already included.
Can super contributions increase your refund?
Yes, in two different ways.
- Deductible personal contributions: give your fund a notice of intent and get its acknowledgment before you lodge. The amount counts toward the concessional cap of $30,000 (2025-26) or $32,500 (2026-27) set out on the ATO caps page. If your total super balance was under $500,000 on the previous 30 June, unused cap amounts from up to five years can be used.
- Salary sacrifice: reduces taxable income before tax is withheld. See our super salary sacrifice page and contribution caps guide.
- Government co-contribution: if your income is below the higher threshold ($62,488 for 2025-26) and you make an after-tax contribution, the government may add 50c per dollar, up to $500.
- Spouse contribution offset: contributing up to $3,000 for a spouse earning under $40,000 can give you an offset of 18%, up to $540. It reduces once the spouse earns above $37,000.
Worked example: Ben’s personal super deduction
Ben earns $90,000 in 2025-26. His employer contributes 12% super, or $10,800. In May 2026 he makes a $5,000 personal contribution, sends a notice of intent and gets the acknowledgment before lodging.
Concessional total: $10,800 + $5,000 = $15,800, well under the $30,000 cap.
His taxable income falls to $85,000, still in the 30% bracket. Tax saved: $5,000 x (30% + 2% Medicare) = $1,600.
The fund pays 15% contributions tax: $5,000 x 15% = $750. Net gain across Ben and his fund: $1,600 – $750 = $850, and the money stays in super until he can access it.
What about donations, prepayments and agent fees?
- Donations: gifts to deductible gift recipients are deductible if you get no material benefit, so raffle tickets do not count. The ATO says the $2 minimum has been removed for gifts made from 1 July 2024. Check status on ABN Lookup, see the ATO gifts page, or our guide to DGR status.
- Prepaying: a non-business expense such as income protection or a professional membership paid before 30 June can be deducted now if the service period is 12 months or less and ends by the end of the next income year, under the 12-month rule.
- Tax agent fees: lodging through a registered agent is a cost of managing tax affairs, claimed in the year you pay it. ATO interest incurred from 1 July 2025 is not deductible.
Does private health cover affect your refund?
It can. Higher earners without appropriate private hospital cover may pay the Medicare levy surcharge on top of the 2% levy. If that applies to you, read our Medicare levy surcharge guide before buying a policy.
Rule of thumb: Claim what you spent, for work, with proof. If you cannot show the ATO how you worked out a claim, leave it out.
Why waiting until late July helps
The ATO says most information from employers, banks, government agencies and health funds is pre-filled from late July, and early July lodgers are twice as likely to make a mistake. Common misses are bank interest, dividends and government payments. You can also watch our tax tips video for a quick run-through.
Common mistakes that shrink refunds
- No WFH diary: the 70c rate needs a record of actual hours.
- Double-dipping: claiming phone and internet on top of the fixed rate.
- Old rates: 67c WFH and 85c or 78c per km are out of date.
- Missing the notice of intent: no acknowledgment, no super deduction.
- Throwing out records: keep them for five years from lodgment, per ATO record rules.
If your refund came in lower than expected, see our guide to why a tax refund can be lower.
FAQ about getting a bigger tax refund
Is a bigger refund always a good thing?
Not necessarily. A refund is tax you overpaid during the year being returned. A larger refund from extra deductions you were entitled to is good, but a large refund caused by too much tax withheld means you had less cash during the year. The aim is an accurate return, not the biggest possible number.
Can I claim my tax agent fees?
Yes. The ATO lists the cost of lodging your return through a registered tax agent as a deductible cost of managing your tax affairs, along with tax advice from a recognised adviser and travel to meet them. You generally claim the fee in the income year you pay it, so this year’s fee reduces next year’s tax.
How much can I claim without receipts?
If your total work-related expenses are $300 or less, you do not need receipts, but you must still be able to show how you worked out the claim. This does not cover car, meal allowance or travel allowance claims, which have their own rules. Keep records for five years from when you lodge.
Do personal super contributions really increase my refund?
They can. If you make a personal contribution, give your fund a valid notice of intent and receive its acknowledgment before you lodge, the amount can be deducted. It counts toward the concessional cap of $30,000 for 2025-26 and is taxed in the fund, usually at 15%, so the benefit depends on your marginal rate.
Should I lodge on 1 July to get my refund faster?
The ATO says most information from employers, banks, government agencies and health funds is pre-filled from late July, and that early July lodgers are twice as likely to make mistakes. Waiting until your income statement is tax ready reduces the risk of amendments and delays, which usually means a smoother refund.
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This article is general information only and is not personal tax or legal advice. Figures and rules were checked against the ATO tax rates, deductions, car expenses, super caps, government contributions, spouse offset, gifts and prepaid expenses pages on 7 October 2026. Rates and thresholds change, so confirm the current position before acting.
