The top 10 jobs that claim the most tax deductions

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Tax experts at Etax.com.au have found that surgeons claim by far the most tax deductions in Australia, followed by real estate agents, and lawyers.

The company analysed the latest Australian tax return data from the ATO, and found that surgeons, on average, claim more than double the next occupation on the list, real estate agents, with an average deduction claim of $21,184.

Here’s a look at the top 10 job, based on the highest average tax deduction claims.

Etax.com.au

So, how can they claim that much?

Liz Russell, senior tax agent at Etax.com.au, says “surgeons generally aren’t reimbursed for any of their many, many expenses by their employer.”

These include special training courses to keep up with the latest medical practices, textbooks and other learning materials, home office computers, furniture for study, and they often need their own insurance.

This means all those expenses can generally be claimed on their return instead.

“The same is true of all of the top claiming fields: the nature of their work means they have a high number of work-related expenses, and the employing company doesn’t offset or reimburse them for these costs,” says Russell.

While the ATO is strict regarding what can and cannot be claimed, Russell said each occupation has a niche set of rules that govern the relevant tax entitlements.

“Even workers within one specific occupation can have hugely different deductions, meaning yours could be completely different to your co-worker’s and can even change from year to year,” she said.

“At the end of the day, tax refunds are determined by an individual’s own expenses, the quality of their record-keeping, and personal circumstances.”

Here are five questions Etax.com.au says you should ask yourself to see if you can claim an expense as a tax deduction — if you can say yes to all of them, then you’re generally in the clear.

    1. Is it directly related to your work or required for your work?

    2. Do you have a proper receipt or evidence for the item?

    3. Did you pay for it yourself?

    4. Did you use your own money as opposed to a work credit card or petty cash to buy the item?

    5. Did you carry the cost as opposed get a reimbursement from your company or anyone else?

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