Is it possible to get a tax return for lawyers in Australia? If this is the question you are searching for, you are at the right place. Even in the legal profession, tax cannot be avoided. But you can get a return on specific claims.
As a lawyer, you can significantly minimize the tax and get a return easily. The tax rule is the same for lawyers as the other professions in Australia. Still, there are tax-deductible expenses.
You must keep records of your receipts and invoices to submit as proof of your tax-deductible expenses. These logs will help you to understand which expenses are work-related and which are private. You can also get professional help for an easy tax return for lawyers in Australia and get a successful refund.
Tax for lawyers – What does it include?
- Car expenses
The lawyers can claim for the commuting expense, like if they travel to the court and visit a client. There are certain conditions that you should be carrying something important to and from the court. Moreover, if you are traveling for employment duties, you cannot ask for the return to go to your job and come home.
- For the study expenses
Everyone, indeed, has to go through tax deductions as an employee. But the lawyers can get a return if they are taking seminars, courses, and other training for their career and professional development.
- Travel expenses
If you want to calculate your travel expenses, you can find a tax return calculator online to get a possible amount that might be expected. Certain travel expenses include meals, working in any other workplace, parking fees, tolls, accommodation, and any incidental costs.
You can include these claims in your return by providing logs and receipts of your records. The ATO will analyze your case and return the accurate amount based on the documents.
- Stationery
To file a tax return for lawyers in Australia, you can add stationery items like pens, logbooks, diaries, etc.
- Clothing and laundry
The lawyers can claim their return of wigs and robes used in court. Moreover, if you save the laundry recipes, you can add them to your tax return.
- Working from home tax deductions
If you are working from home, there are certain work-related expenses that you can claim. It includes cleaning, depreciation of home office equipment, cost of stationery, and repairs of any home office equipment. Moreever, You can also add the electricity and internet of your home to the claim.
To calculate the home tax expense, you can set a rate like 52 cents per hour as an example per hour. Furthermore, you can claim a portion of the total expense of working from home in your return. Specific implications are associated with these claims, so discussing your scenario with a tax agent is important.
- Phone and internet expenses
Tax return for lawyers in Australia includes phone and internet expenses too. You can claim deductions that are only part of your work-related hours. If you have been provided with a phone by the employer, it is not included in the claim.
- Equipment
You can also claim these in your tax return if you need any tools and equipment for your performance in court. Moreover, if you ever have to repair the equipment, attach the receipt and bring a claim to it.
Always remember that no private use of any tools and equipment can be reimbursed in this case.
- Annual practicing fee
There is an annual practicing fee that the lawyers pay, and it is deductible. You can claim the amount to renew your annual practice fee. But, it will never include the amount you paid first to obtain the certificate.
Note: There are also some other tax return claims like union associate fees, supreme court library fees, and indemnity insurance.
What expenses can you not claim when filing a tax return for lawyers in Australia?
If you are giving any gifts and favors to the clients, it will not be a part of your claim. It is your expense, including the greeting cards that people send. Moreover, the admission fee and bar course are not part of the tax return.
Do tax lawyer file taxes?
It is a common question can an attorney file a tax return? Yes, they can, but only if they are a tax lawyer. You can also take the help of tax agents because they have professional years of experience working with returns.
