ATO Information Sheet

The ATO has issued an information sheet setting out how taxpayers can claim phone and internet expenses. Basically taxpayers should keep a 4 week diary so they can apportion the expenses between work and private use. These diaries will need to be made every year!!

Claiming the Deduction

Where tax payers use their own phone or internet for work purposes, they may be able to claim a deduction if they paid for these costs and have records to support their claims. If they use their phone or internet for both work and private use, they will need to work out the percentage that reasonably relates to their work use.

Substantiating Claims

To claim a deduction of more than $50, taxpayers need to keep records for a 4 week representative period in each income year.
These records may include:
• Diary entries – including electronic records
• Bills; and preferably
• Evidence that their employer expects them to work at home, or make some work-related calls.
For further information please follow the link below:
https://www.ato.gov.au/individuals/income-and-deductions/deductions-you-can-claim/other-deductions/claiming-mobile-phone,-internet-and-home-phone-expenses/
Feel free to contact Paisley Robertson if you require clarification.