Claiming Internet on Your Tax Return

If you have to use your internet to earn your income and your boss hasn't reimbursed you for the cost, you may be able to make a claim for part of the cost of your internet on your tax return. How good is that?! 

You can’t just claim the whole bill though (unless you only use it for work). The claim must be equal to the amount you use for work purposes. For instance, if for work purposes, you use 10% of the total use of the internet, for 10 months of the year, then that is all you can claim.

To show a pattern of use, a logbook or diary is required to be kept for a period of four weeks each year, you can find a copy inside your Gotax Tax Return under the "Internet" section. 

You may also have to show evidence that your employer expects you to work at home and use the internet to be entitled to the tax deduction.

Make sure you keep a copy of all your internet bills as well as the ATO may ask for proof.

If your phone and internet services are bundled into one, then you will have to separate out all the services that you use for work and then calculate the work portions of each service. 

Don’t forget, keeping clear records, receipts and logbooks will always help you to receive the best possible tax refund.

Note that the information provided is general in nature and subject to change, please contact one of our professionals who can evaluate your circumstances and provide more accurate advice to your current situation.