Home office expenses: A guide to working from home tax deductions (2024 Updated)

Stilling Working From Home in 2024? In Australia, there are many different items that can be claimed for tax purposes when working from home or setting up a home office. Working from home tax deductions can help you recuperate some of the funds needed to establish a space for your work.

There are lots of different items and expenditures that can be claimed back on tax, and exactly what you can claim will depend on your job and the specific home office setup you have.

In today’s article, we’ll take a look at some of the home office expenses you may be able to claim on tax when working from home. Please note that this advice is general in nature, and you should consult with your accountant before making any large financial decisions.

Eligibility criteria for working from home tax deductions Australia

There are many different items that can be tax deductions for working from home. However, in order to be able to claim these items, you’ll need to meet the eligibility criteria. According to the ATO, these criteria are as follows:

• Be working from home to fulfil your employment duties. This means you’re not simply carrying out minimal tasks such as occasionally taking work calls or checking emails.
• Incur additional running expenses that have resulted from working from home.
• Have proof showing you have incurred these expenses.

Contact your accountant for more detailed advice about eligibility criteria and to confirm that you are eligible to make a claim.

What can you claim on tax when working from home?

As mentioned above, a number of items can be claimed as working from home tax deductions. Exactly what you can claim will depend on the type of work you do, however, below are a few examples:

• Energy expenses for lighting, heating, or cooling your work space (this can include electricity or gas).
• Home and mobile phone call expenses.
• Home and mobile internet or data expenses.
• Office supplies and stationery such as pens, writing books, paper, staplers, etc.
• The decline in value of depreciating assets that you use for work, such as computers and software, office chairs and desks, etc.

Depending on the circumstances, those with a dedicated home office may also be able to claim the following:

• Cleaning expenses.
• Occupancy expenses that can include rent or mortgage interest.

For more information on what can count as home office expenses come tax time, check out the ATO website or have a chat with your accountant.

Office supplies, furniture and stationery as a tax deduction

When it comes to running a home office, there are a few supply expenses that can count as a tax deduction. These include:

Office desk

If you purchase an office desk to use while working from home, you may be able to claim a tax deduction for it. This will generally be calculated as the desk’s decline in value.

Office chair

Much like the desk, an office chair can also often be claimed as a depreciating asset purchased for working from home. Ink Station has a range of different office chairs to suit a variety of home office needs.

Paper

Paper can also be claimed as a tax deduction for many people that work from home. This includes printing and copy paper and can even extend to photo paper, depending on the type of work being completed.

Pens

Another tax deduction when it comes to stationery is pens. Pens and other writing instruments can often be claimed as a legitimate tax deduction.

Printer ink & toner

Printer ink and toner can also be claimed as a tax deduction and is applicable to many people that work from home. Ink Station stocks an extensive range of printer ink and toner for a number of different brands, makes, and models.

Staplers & hole punchers

Lastly, staplers and hole punchers can be claimed on tax if they are needed for your job. This includes manual and electric models.

Computers, printers and software as a tax deduction

Other technology-based items that can be claimed as working from home tax deductions include the following:

Computers & laptops

If you are using a computer or laptop to work from home, then you may be able to claim a tax deduction for it. This will depend on the type of work you’re doing and whether or not it is essential for your job. The depreciation of these devices can often be claimed in the form of a tax deduction.

Printers & scanners

Similar to computers, printers and scanners can also be claimed as a tax deduction if they are used for work from home purposes. This is again in the form of a tax deduction on the depreciation of the item. Interested in purchasing a printer for your work from home needs? Ink Station stocks a range of different printers for home office setups.

Software & subscriptions

Software, apps and subscriptions can also often be claimed as tax deductions by those working from home. This includes software such as Microsoft Office, Adobe Creative Suite and cloud storage.

What can’t be claimed as a tax deduction?

A number of items can’t be claimed as a deduction when working from home. These include:

• Food and drinks, including coffee, tea, and milk.
• Items provided by your employer such as a laptop or a mobile phone.
• Purchases pertaining to your child’s education, including subscriptions for online learning.
• Anything for which your employer has reimbursed you.

Though the exact amount of money that can be claimed always varies, it’s worth consulting your accountant or tax advisor to determine exactly what you can and can’t claim on your taxes when it comes to running a home office. Regardless of the amount of money that can be saved, it’s always beneficial to look into what items are tax deductible and which ones aren’t. Investing in the right equipment and accounting for these items in your tax return can help save money, while also helping you create a productive and efficient home office setup.

Ink Station offers a wide range of products to help you set up your home office, including office chairs, paper, printer ink and toners, staplers and punchers, and printers and scanners. Check out our range of products today to help you create an efficient and productive workspace.

Finally, remember to save all your receipts associated with any item that you purchase to use in your home office, as this will make it easier to claim them during tax time.