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6 Min. Read

What Expenses Can Be Claim on Tax Deductions Without Receipts?

What Expenses Can Be Claim on Tax Deductions Without Receipts?

Can you claim a tax deduction if you don’t have receipts? That’s what we’re looking into today. It should be noted that attempting to claim expenses without a receipt is risky. This is because compared to previous years, the ATO does a better job of matching the data deducted from individual tax returns.

However, it is possible in some cases. So let’s take a closer look to help you avoid trouble with the ATO. Remember, tax deductions continue to be the best way for you to get more from your refund. Deductions increase the fairness of the tax system. So if you have to pour money into your livelihood, you can reap the rewards by getting a tax break.

Here’s What We’ll Cover:

The ATO on Receipts

Which Items Don’t Require a Receipt?

Don’t Leave Money on the Table

Common Items You Can Claim without a Receipt

Key Takeaways

The ATO on Receipts

The Australian Taxation Office (ATO) usually says that if you don’t have a receipt, but you do purchase work-related items, you can claim up to $300. But you still need to show proof of how you did this. There’s a good chance that you are eligible to apply for more than $300. This can greatly increase your tax refund.

But if you don’t have receipts, it becomes a case of “he said, she said.” And you can bank on the ATO getting the last word. As such, it’s always better if you have a way to show how you bought and paid for your work-related items.

Also, can I apply for food expenses without a receipt? Under no circumstances can you deduct your normal living expenses. When your work conditions force you to dine at the company cafe, or when you cannot go home to eat, you can use the receipt to deduct food expenses.

The standard deduction of your expenses associated with food and travel depends on whether there is a real allowance in your STP summary.

ATO prefers that you keep a receipt for every purchase you purchase and hope to declare it in your tax return. But what if you don’t have a receipt? What if you lose it, or it has faded so that you cannot read it? A good way to solve this problem is to take a photo and save it in your online cloud.

As the tax filing time approaches, Australians need to consider their receipts and other records. These will help them obtain convenient refunds as quickly as possible.

Receipts are the easiest way for the ATO to confirm that your extra deductions are true. Still, there are some deductions that are not required or even impossible to obtain a receipt. The ATO is well aware of this. But it warns that you need to prove how you calculated all deductions. This is usually done using some form of supporting record or written evidence, like your bank statements.

Which Items Don’t Require a Receipt?

If you work from home, the items you buy to support your home-office work might not require a receipt. In addition, paying for vehicle expenses related to your job may not require you to present a receipt. Also, if you have to buy uniforms for work, you could be exempt from having to show proof of such work-related expenses.

You may not have to show receipts for the money you spend to support working from home. But you will need to keep a diary that shows the time you log in your home office. This includes time spent online and on your mobile device as they relate to work.

Don’t Leave Money on the Table

A study by News Limited found that Australian taxpayers miss an average of $436 worth of itemized deductions. Moreover, taxpayers also miss out on a potential additional tax refund of $131. And it’s all because they did not declare every standard deduction they were entitled to.

Consider the type of expenses you typically spend money on. Are they related to your work? Such expenses can include things like:

  • Vehicle repairs and maintenance
  • Union expenses
  • Phone calls
  • Literature
  • Meetings
  • Clothing
  • Training
  • Travel

Therefore, you can claim any expenses you put toward your job. Keep in mind that there is a cap of $300 if you’re claiming without receipts. These funds ultimately go toward reducing your taxable income. As such, you’ll pay slightly fewer income taxes while getting more back.

Common Items You Can Claim without a Receipt

Most taxpayers are aware that charitable donations are claimable without a receipt. But there are others that you need to know about outside of charitable contributions.

The following are items that you might be able to claim on your tax deductions without a receipt. In the end, it’s up to the ATO. But consider the following when filing your tax form next time:

Membership or Union Fees: Itemized deductions like these are in your pay-as-you-go summary. As long as you have the document, you usually don’t need a receipt.

Petro Log: Try to keep an accurate car log for a minimum of 12 consecutive weeks. Keep in mind that it can’t be older than five years). You can use the commercial portion of the total annual vehicle expenses. Claimable items include:

  • Maintenance
  • Loan interest
  • Registration
  • Insurance
  • Fuel

Petro without Log: What if you don’t keep a car log? If you can prove how to calculate the number of kilometres you declared, ATO will allow $0.72 per kilometre (5,000 kilometres max). This standard mileage deduction is vital if you travel often in your job.

Computer Items: What if you bought computer items but don’t have the receipts? A credit card statement might be the next best thing. As long as you made notes pertaining to what you purchased (i.e., new laptop), you can use that as evidence. Accompanying photos also help.

Stationery: See above. Do you have credit card statements with notes detailing your purchase? You might have all the evidence you need for these work-related deductions.

Key Takeaways

It’s always best if you can keep as many receipts as possible. But in the event that you lose or misplace them, you know you can claim up to $300 on your taxes without proof for deductions. To ensure that you keep track of your business expenses, we encourage you to use FreshBooks.

FreshBooks features powerful accounting tools for your business. You can easily manage your expenses and so much more. Try FreshBooks free for 30 days and enjoy its many benefits.

If you’re looking for more info like this, be sure to visit our resource hub!


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