Surprising Things You Can Claim At Tax Time

Tax time has a habit of sneaking up on people, and more often than not, it leaves money behind. We see it every year in our Mildura office. Good earners, steady jobs, clean records — yet refunds that fall short because perfectly legal deductions were missed. Many Australians assume tax claims stop at uniforms and mileage. They don’t. The ATO allows a wide range of expenses that sit just outside the obvious, from sun protection for outdoor workers to home office gear and work-related education. The difference is knowing what counts, keeping the right records, and not selling yourself short. This guide walks through the surprising things you can claim at tax time, using real-world examples and plain language, so you can lodge with confidence and keep more of what you earn.

Why So Many Australians Miss Legitimate Tax Deductions

Most missed deductions don’t come from carelessness. They come from habit.

People claim what they claimed last year. They copy what their mate did. Or they assume something “sounds personal” so it must be off limits. Over time, those habits stick like mud on boots.

From our experience working with regional clients across Victoria, these are the main reasons deductions get missed:

• Fear of getting it wrong
• Confusion between work use and personal use
• Poor recordkeeping during the year
• Relying on outdated advice
• Assuming small amounts are not worth claiming

A common example we see involves outdoor workers. Mildura summers push past 40 degrees. Sunscreen is not optional. Yet many labourers, farmers, and delivery drivers never claim it because they think it’s a personal item. The ATO sees it differently when sun exposure is part of the job.

Another one is bags. Laptops don’t carry themselves. A work bag used to haul gear between job sites or offices is often deductible, at least in part. Still, most people never log it.

What the ATO Actually Looks For

The ATO does not expect perfection. They expect logic, consistency, and evidence.

Every work-related claim comes back to three tests:

1. You spent the money yourself
2. The expense relates directly to earning your income.
3. You have a record to support it.

Miss one, and the claim falls through.

Here’s a simple comparison we often explain to clients:

Claim passes	Claim fails
Sunscreen for outdoor work	Sunscreen for weekend sport
Laptop bag used for work	Fashion handbag with no work use
Home office chair for WFH	Lounge chair used for Netflix
Phone plan with usage split	Full phone claimed with no log

A Realistic Scenario We See Every Year

Take a hypothetical client. Sarah works three days a week from home and two days in town. She upgraded her desk chair after her back started playing up. She uses her mobile for work calls daily, but never tracks it. She buys stationery online and pays for faster internet because video calls keep dropping out.

Last year, she claimed none of it.

This year, with a four-week usage diary and proper receipts, she claims:

• A percentage of her phone plan
• Part of her internet
• Depreciation on her chair
• Office supplies

Nothing fancy. Nothing aggressive. All allowed. The difference in her refund pays for school shoes and a power bill. That’s real money.

Unexpected Work-Related Expenses the ATO Allows

This is where things start to get interesting. These are the claims that make people raise an eyebrow and say, “You can’t be serious.”
We are. And so is the ATO — provided the link to work is clear.

These deductions come up often with regional clients. The climate, the type of work, and the way people operate outside capital cities all play a role. What looks personal on the surface can be work-related once you peel it back.

Sun Protection You Can Claim If You Work Outdoors

In places like Mildura, sun exposure is part of the job. If you work outdoors, sun protection is not cosmetic. It’s protective equipment.

The ATO allows deductions for sun protection if it is used primarily to protect you while earning income. This applies to roles such as:

• Tradies
• Farmers and farmhands
• Landscapers
• Delivery drivers
• Construction workers
• Surveyors

Claimable items can include:

• Sunscreen
• Broad-brim hats
• Sun hats with neck flaps
• SPF-rated work clothing
• SPF-containing makeup (when used for protection, not appearance)

What we see in practice:
A vineyard worker claims sunscreen purchased in bulk during the summer. Receipts kept. Claim allowed.
A retail worker claims daily makeup with SPF. Claim knocked back. No outdoor exposure.

ATO line in the sand:
If the sun exposure comes from the job, the claim stands. If it comes from lifestyle, it doesn’t.

Bags, Briefcases, and Handbags Used for Work

This one surprises a lot of people.

If you carry work items — laptops, tools, paperwork — the bag you use can be deductible. The catch is the work use percentage.

Examples we commonly see:

• Laptop bags for office or remote work
• Tool bags for tradies
• Briefcases for professionals
• Backpacks are used to carry work gear.

If the bag is also used personally, the claim must be split.

How the ATO expects this to be handled

• Keep the receipt
• Track usage over a typical four-week period
• Claim only the work portion.

Home Office Items People Forget to Claim

Home offices are not just desks and chairs. Many smaller items add up fast, yet often get missed.

Common overlooked claims include:

• Desk lamps
• Monitor stands
• Keyboards and mice
• Surge protectors
• Printer ink and paper
• Whiteboards and planners

These items usually fall under immediate deductions or low-cost assets, depending on price.

Timing matters

Here’s a simple timeline we often share with clients:

1. Item purchased
2. Work use begins
3. Receipt kept
4. Claim lodged in the same financial year.

Miss the receipt, and the claim becomes shaky. Lose track of when it was first used, and depreciation gets messy.

Power, Internet, and Phone Costs Done the Right Way

This is one of the most common ATO review areas.

The ATO does not accept guesses. They want numbers backed by usage.

What works:

• A four-week diary showing work use
• Clear percentages applied consistently.y
• Bills kept for the full year

What doesn’t:

• Claiming 100% of a phone used socially
• No diary
• Rounded numbers that change each year
  

Surprising Home Office Tax Deductions

Working from home is no longer a novelty. For many Australians, it’s part of the weekly routine. Still, home office claims remain one of the most misunderstood areas of tax. Some people overdo it. Others don’t claim a cent. Both miss the mark.

From what we see each year, the ATO is not against home office deductions. They just want them done properly.

Home Office Equipment Beyond the Basics

Most people stop at a desk and chair. That’s where the money gets left behind.

If an item is needed to do your job, it can usually be claimed, either outright or over time. This includes:

• Computer monitors
• Docking stations
• Webcams
• Headsets
• Routers and Wi-Fi extenders
• Power boards

These items matter more in regional areas where internet reliability can be patchy. We’ve seen plenty of clients upgrade equipment simply to keep video calls running smoothly.

Depreciation vs Immediate Deductions

This is where timing and cost come into play.

• Items under the low-value threshold may be claimed straight away.
• Higher-cost items are claimed over several years.

The ATO publishes effective life guidelines. Following them keeps claims safe.

Item	Likely treatment
Keyboard	Immediate deduction
Monitor	Depreciated
Desk	Depreciated
Webcam	Immediate or depreciated

We always remind clients: claiming less this year does not mean losing the deduction. It just spreads it out.

Power, Internet, and Phone Costs Without the Headache

There are three ATO-approved methods for home office running costs. Choosing the right one matters.

Shortcut method

• Simple
• Covers most costs
• No longer available for recent years

Fixed rate method

• Requires a diary of work hours
• Covers power, internet, phone, stationery

Actual cost method

• Most detailed
• Requires solid records
• Often delivers the largest claim.

We’ve found the fixed rate method suits most employees. Small businesses and freelancers often benefit from actual costs.

The Diary Rule That Trips People Up

The ATO requires a four-week representative diary to support home office claims.

What counts:

• Actual start and finish times
• Work tasks performed
• Typical week, not a holiday week

What doesn’t:

• Estimates made at tax time
• Old diaries are reused year after year.

Once completed, the diary can be reused for up to five years, provided work patterns stay the same. That alone saves a lot of hassle.

Health and Medical Expenses You May Be Able to Claim

Health-related claims are where people get nervous — and rightly so. Most medical costs are private. The ATO draws a hard line here. Still, there are situations where health expenses become deductible, and we see them missed far too often.

The key is medical necessity backed by evidence, not convenience or general well-being.

Doctor-Prescribed Items That Can Become Deductions

If a doctor prescribes something to treat a diagnosed condition, the cost may move from personal to claimable. Without that link, the claim falls apart.

Examples we’ve seen work:

• Therapy aids prescribed for injury recovery
• Equipment required to manage a chronic condition
• Structured programs recommended by a medical professional

Examples that usually fail:

• Gym memberships without a prescription
• Wellness appears to be used casually.
• Supplements taken by choice

Education and Therapy Costs Linked to Income or Care

Some medical-related education expenses also cross into deductible territory, particularly where care or treatment is part of employment.

This can apply to:

• Carers required to undertake specific training
• Disability support workers are maintaining accreditation.
• Therapists completing mandatory skill refreshers

What does not work:

• Courses taken to change careers
• General interest health studies
• Self-improvement programs

ATO focus:
Does the expense help you earn income in your current role? If yes, the claim has legs. If not, it usually doesn’t.

A Realistic Example

A support worker completes a required short course on behaviour management to keep their registration current. The course is mandatory. The employer does not reimburse it. The cost is deductible.

The same person enrols in a diploma to move into a different role next year. That cost is not deductible.

Same person. Same field. Different outcome.

Health Claims That Often Trigger ATO Attention

Based on reviews we’ve helped clients respond to, these claims attract scrutiny:

• Large claims without medical evidence
• Repeating the same claim every year with no change
• Vague descriptions in the return

We always advise clients to treat medical claims like glass. Handle carefully. Document everything.

Tax Deductions for Freelancers, Gig Workers, and Side Hustles

This is where things can go either very right or very wrong.

Freelancers and gig workers often have more deductions available than employees. They also face more ATO scrutiny. We see both sides every year. Some people make claims they are clearly entitled to. Others claim half their life and hope for the best.

If you earn income outside a standard payslip, structure and records matter more than ever.

Content Creation and Digital Work Expenses

Content creation is now a genuine income stream. The ATO accepts that — provided the activity is commercial and not just a hobby.

Common claimable expenses include:

• Cameras and lenses
• Ring lights and lighting kits
• Microphones and audio gear
• Editing software subscriptions
• Cloud storage
• Platform commission fees

These costs are usually depreciated, unless they fall under low-value thresholds.

What we see in practice:
A regional client runs a monetised YouTube channel reviewing agricultural equipment. They claim camera gear is used solely for filming. Claims allowed.
Another client posts casually on social media with no income. Claims denied. No business activity.

Income is the line in the sand.

Platform Fees and Commission Cuts

Many platforms take a slice before you see a dollar. That slice is deductible.

Examples include:

• Video platform commissions
• Subscription platform fees
• Payment processing charges

If the income is assessable, the fee is usually deductible. Keep the statements. Screenshots are better than nothing, but official reports are best.

Ride-Share, Delivery, and Gig Economy Claims

Vehicle expenses are the big one here, and the biggest source of ATO audits.

Claimable costs may include:

• Fuel
• Servicing
• Insurance
• Registration
• Depreciation

The method you choose matters. Logbook or cents per kilometre. Mixing methods causes problems.

No logbook, no percentage. It’s that simple.

Phone and Data Usage for Gig Work

Gig workers often use their phones constantly. That does not mean 100% of the bill is deductible.

The ATO expects:

• Usage tracking
• A reasonable split
• Consistency year to year

Side Hustle or Hobby?

This question decides everything.

The ATO looks at:

• Intention to make a profit
• Repetition and scale
• Business records
• Advertising or promotion

Selling one item online occasionally is usually a hobby. Running regular listings with pricing, records, and promotion leans toward a business.

Side Hustle Health Check

Ask yourself:

• Am I trying to make money?
• Do I keep records?
• Do I advertise or promote?

If the answer is yes across the board, deductions usually follow.

Tax time catches a lot of people out, not because they do anything wrong, but because they play it too safe. We see it every year with clients across Mildura and regional Victoria. People assume something feels personal, so they leave it off. Others rely on what they claimed last year and never revisit the details.

The ATO allows more than most people expect, provided the expense has a clear link to earning income and is backed by records. Sunscreen for outdoor work, home office equipment, work-related education, and certain digital or freelance costs are all fair game when claimed correctly. The difference between a weak refund and a solid one often comes down to understanding where the lines sit and keeping proof.

If your work has changed, your claims should change too. New roles, working from home, side income, or study can all shift what you are entitled to claim. When things get unclear, that is usually the right time to slow down and get advice. Getting it right at lodgement beats fixing it later, and it keeps tax time straightforward instead of stressful.