As a painter or decorator, you put in long hours transforming spaces and bringing creativity to life. However, when tax season rolls around, many professionals overlook crucial deductions that could significantly reduce their tax bills. Understanding essential tax deductions for painters and decorators can help you keep more of your hard-earned income. Let’s explore these deductions to maximise your return this financial year.
Your equipment and tools are vital for your trade. The Australian Tax Office (ATO) permits deductions for:
Tools costing under $300 are immediately deductible. Items costing more than $300 must be depreciated over their useful life.
Painters and decorators regularly travel between projects, supply stores, and client meetings. You can claim deductions on:
Keep detailed records or use a logbook for a minimum of 12 consecutive weeks to accurately claim vehicle-related deductions.
You can deduct expenses for required uniforms and safety gear:
Additionally, maintenance costs such as laundry and dry cleaning for work-specific clothing are claimable.
To remain competitive and compliant, many painters and decorators undertake training. Eligible expenses include:
Ensure these courses directly relate to your current job to be deductible.
If you use your phone or internet for work, you can claim a portion of these costs. Maintain records demonstrating the percentage used for business purposes.
For administrative tasks completed from your home office, deductions are available for:
Keep a log of your hours spent working from home to support your claims.
Avoid these common errors:
Consulting with a tax professional can help you avoid costly mistakes.
Here are some effective ways to enhance your returns:
Understanding all potential deductions as a painter or decorator can be challenging. Don’t miss out on valuable tax savings. Contact Nanak Accountants today for tailored advice to optimise your financial returns.
The information on this website is for general informational purposes only and should not be considered financial, taxation, or legal advice. While we strive for accuracy, Nanak Accountants does not guarantee the completeness or reliability of the content. Laws and regulations change over time, and we recommend consulting a qualified professional before making any financial or business decisions. Nanak Accountants is not liable for any loss or consequences arising from reliance on this information. For personalised advice, please contact Nanak Accountants directly.