What can I claim for small business expenses?

You may be able to claim deductions for the following types of business expenses:

• motor vehicle expenses.
• home-based business.
• business travel expenses.
• workers’ salaries, wages and super contributions.
• repairs, maintenance and replacement expenses.
• other operating expenses.
• depreciating assets and other capital expenses.

How do I claim home business expenses?

If you use part of your home for both your business and personal living, calculate how many hours in the day you use the rooms for your business, and then divide that amount by 24 hours. Multiply the result by the business part of your total home expenses. This will give you the household cost you can deduct.

What kind of expenses can I claim for my business?

Some expenses are simple to process as they are wholly used by the business. Others will require careful calculation because they constitute a benefit in kind (e.g. where a company vehicle is also used as a personal vehicle) or the service/utility is used by the wider household (e.g. your office is a space in your home).

When to claim operating expenses on your taxes?

You can refer to the table below for examples of the main operating expenses you can claim when filing your taxes. You can deduct expenses that preceded the operation of the business. However, you can only claim expenses if you operated the business in the fiscal period in which the expense was incurred.

What kind of deductions can you claim for home based business?

If you operate some or all of your business from your home, you may be able to claim tax deductions for home-based business expenses in the following categories: occupancy expenses (such as mortgage interest or rent, council rates, land taxes, house insurance premiums)

Can You claim Entertainment as a business expense?

Client entertaining is a valid business expense and can form a major part of business development for many companies. Keep in mind that entertainment expenses do not reduce your corporation tax bill and you can’t reclaim the VAT back either. Our software is aware of the tax rules for entertaining, all you need do is record the expense correctly.