Data Records & maintenance
Stock take of inventory
Repairs & maintenance
If you spend time travelling as part of your business you can claim business travel as an expense. A good way to prove the business portion of your travel expenses is by keeping a diary of your travels. In addition to invoices and tickets you should also keep details of:
Motor vehicle expenses
If you have a vehicle (not a company vehicle), which is used for business and private purposes, there are several options for claiming the business portion of expenses.
One option can be particularly useful if a private vehicle is only used occasionally for business use. There are also GST implications to be considered.
Note: Similar rules govern the rates at which an employer may make tax free reimbursement to employees (including shareholder-employees) who use their private vehicles for work purposes. These include use of mileage rates published by a reputable independent source (e.g. Automobile Association).
As a general rule, if you provide entertainment for your team or clients, some of your business entertainment expenses are tax deductible. The basic idea is that an expense is business-related if you spend the money to help your business earn income. It becomes a little bit trickier when there’s an element of private enjoyment. If this is the case, then the expense is only 50% deductible.
In general, any entertainment away from work or out of usual work hours has a private element, therefore only 50% deductible. For unusual entertainment items, contact our team for advice
Home Office expenses
Where a self-employed taxpayer uses their home partly to further the conduct of a business, they are entitled to a partial deduction for the outgoings, which relate to the use of the home for the work related activities. Many people who run a small business use an area in the family home for work purposes. You do not have to have an area specifically set aside for the business. If you are doing this, you can make a claim for the area set aside so long as you keep a full record of all expenses you wish to claim. If there isn't a separate area for the business the apportionment will need to take into account criteria such as the amount of time spent on income earning activities and the area used at home. No deduction is permitted for any private or domestic expenditure.
You can only claim the expenses that relate to the area used for business. Work out the percentage of the work area, compared to the total floor area of the house. Examples of areas likely to be used for business purposes include: