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Tax Deduction for Hospitality Workers in Australia

Tax Deduction for Hospitality Workers in Australia

So, you work hard all day, month, and year serving customers with all your heart in a bar or restaurant. Right? Have you built something great for yourself? Ooh, the taxes; they take all your hard-earned money from your pockets.

That’s just so frustrating…what can you do about this?

A little legwork more; claim all the tax deductions you are entitled to as a hospitality worker in Australia. Do you know what tax deductions you can claim as a hospitality worker? Probably not; that’s why you are broke after the taxes.

Let’s dive deep into this comprehensive guide that contains information on tax deductions for hospitality workers in Australia in 2023.

Claim These Tax Deductions as a Hospitality Worker

As a hospitality worker, you must know that you are entitled to claim deductions on any money spent during the financial year on services or products that are directly related to your profession. Let’s see the deductions that you can claim as a hospitality worker in Australia.

Travel Expenses

You can claim deductions for the travel expenses if you travel between different jobs on the same day. For instance, if you work for a restaurant as well as retail, you might need to travel between these two places. If you travel between different jobs daily, don’t forget to claim deductions for car expenses.

Clothing Expenses

You might need to wear special clothes to work as a hospitality worker in Australia. If so, you are entitled to claim deductions for any expense related to repairing, buying, or cleaning any work clothing items, which may include protective covering like a hair net, face mask or gloves.

Footwear Expenses

While working as a hospitality worker, you might need to buy and wear non-slippery footwear or any special shoes that help you avoid injuries at work. If so, you can claim deductions for the expenses related to buying or repairing footwear for your profession.

Equipment Expenses

If you are required to buy equipment to perform your job as a hospitality worker in Australia, you are entitled to claim deductions for that. Equipment expenses for hospitality workers may include the cost of buying catering trays, etc.

Self-Education Costs

For career growth, individuals in every field invest in self-education costs. Remember to claim deductions if you are spending money on self-education as a hospitality worker. However, you must attend courses or classes related to your field to claim tax deductions; you cannot claim deductions for self-education expenses you’re pursuing to enter any other area or get another job.

Things You Can’t Claim Deductions For

After getting familiar with what you can claim tax deductions for, it’s time to determine what you can’t claim deductions for in Australia. So, here is what you need to know: –

  • Childcare costs incurred while working as a hospitality worker.
  • Eating and drinking expenses at competitors’ venues for research.
  • Costs incurred while travelling between home and your workplace.
  • Grooming costs, which may include hairdressing, makeup items, etc.

What You Need to Claim Deductions in 2023?

To claim tax deductions in Australia as a hospitality worker, you must produce proof of expenses, either physical or digital. However, digital proofs are only valid if the following things are possible to read in them: –

  • Expense Amount
  • Supplier Name
  • Date of Expenses
  • Document Date
  • Nature of Goods & Services

Note: Receipts of expenses under $10 are only required to be kept by the taxpayer if the expenses cumulatively come to more than $200.

On the Final Note

When you have to share your earnings after working hard for a year, you realise that your take-home earnings are too low. But you can save a few hundred dollars if your income exceeds the threshold of $18,200 as a hospitality worker by claiming tax deductions. The expenses you can claim deductions for as a hospitality worker in Australia are mentioned in this blog.

However, if you have never claimed deductions as a hospitality worker or are confused about whether to claim a deduction for a particular expense, contact the experienced tax agents of KPG Taxation in Australia. We are always ready to assist our beloved clients with exceptional taxation services!

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