Navigating the Nitty-Gritty of Trade Tax Deductions

For tradies, tax time shouldn't be a guessing game. Many builders and sparkies leave money on the table simply because they aren't sure what qualifies as a legitimate business expense. This guide helps you identify exactly what you can claim.

Commonly Missed Deductions

• Protective clothing and specialised gear
• Union fees and industry association memberships
• Mobile phone plans for business calls
• Small tool replacements under $300

Understanding Asset Depreciation

Large equipment like excavators or heavy-duty generators are not fully deductible in one year. Instead, you claim the decline in value over the life of the asset. Keeping a detailed asset register is essential for this process.

1. Create a dedicated folder for all business invoices
2. Use a cloud accounting app to snap photos of receipts on the go
3. Separate business bank statements from personal spending