Freelancer Tax Return: What Can You Claim?

Freelancers are the workhorses of the modern economy. You’re the designer, the copywriter, the coder, the consultant, and sometimes even your own bookkeeper. You set your own hours (translation: work all hours), invoice clients, chase payments, and then—when tax time hits—you’re left scratching your head: what can I actually claim?

The good news is, freelancers have access to a massive range of tax deductions. The bad news is, if you don’t know the rules, you’ll either miss out or accidentally over-claim and risk the ATO tapping you on the shoulder.

This Gotax guide breaks it all down in plain English, Derek-style. Let’s get you claiming what’s yours and stop donating extra cash to the government.  Gotax online tax experts will get your Freelancer Tax Return completed quickly, just three simple steps

Do freelancers need to lodge a tax return?

Yes. If you earn income as a freelancer under an ABN, you must lodge a return. It doesn’t matter if you only earned $1,000 in side gigs—you’re still running a business in the ATO’s eyes.

Do freelancers need an ABN?

Absolutely. Freelancers are considered small business operators. You need an ABN to invoice clients legally. And if your income tips over $75,000, you must also register for GST.

Pro tip: Even if you’re under that threshold, registering for GST may be worth it if your clients are GST-registered and you want to claim GST credits.

What deductions can freelancers claim?

Here’s the golden rule: if an expense is directly related to earning your freelance income, it’s deductible. That includes:

• Internet and phone.

• Computer, software, and apps.

• Marketing and advertising.

• Professional memberships.

• Travel and vehicle costs.

• Home office expenses.

Using GoTax’s Free Tax Software makes finding deductions easy—it guides you through categories you might not even know exist.

Can freelancers claim home office expenses?

Yes. If your dining room table has become your HQ, you can claim a portion of:

• Rent or mortgage interest (strict rules apply).

• Electricity.

• Internet.

• Office furniture.

The ATO offers different methods (fixed rate or actual costs). Which one’s best? Depends on your setup—but don’t worry, GoTax online crunches the numbers for you.

What about travel expenses?

If you travel for business—client meetings, project work, events—you can claim as tax deductions:

• Flights.

• Accommodation.

• Meals (if overnight).

• Car expenses for business trips.

Not deductible: Driving to a café to “find inspiration.” Nice try, the ATO’s not buying it.

Can freelancers claim software and subscriptions?

Yes. Think: Canva, Adobe Creative Cloud, Zoom, eCashbooks, website hosting, domain renewals. If you use it for work, it’s deductible.

Gotax online created eCashbooks to be simple and dead easy.  You don't need to be a rocket scientist to run this software.

Can I claim my laptop and equipment?

Yes. Laptops, cameras, phones, printers—all deductible.

For the 2025 year the instant asset write off rules apply.  That means any tools or equipment for your business under $20,000, you get an immediate write off.

Items in excess of that need to be depreciated.

What about training and education?

Yes, if it relates to your freelance work.

• A designer learning 3D modelling? Deductible.

• A web developer doing an advanced coding course? Deductible.

• A copywriter learning French cooking? Nope.

Can freelancers claim super contributions?

Yes. Freelancers don’t get employer super, so paying into your own fund is smart. Contributions are deductible and can reduce your taxable income while padding your retirement savings.

What about client entertainment?

No. Coffee meetings are fine (onsite), but shouting clients a boozy dinner won’t fly with the ATO. Instead, focus on deductible marketing expenses like websites, ads, and business cards.

How do freelancers handle GST?

If you’re over the $75,000 threshold, you must:

• Register for GST.

• Collect 10% GST on invoices.

• Lodge a BAS (Business Activity Statement).

Using GoTax’s Self-Employed Tax Return keeps this simple. And coupled with eCashbooks you can attend to your GST/BAS requirements in the most simple and easiest way. 

What about vehicles?

Two methods:

• Cents per kilometre method (up to 5,000 km, flat rate).

• Logbook method (track business percentage of total use).

Example: You drive 20,000 km in a year, 8,000 for freelance work. That’s 40%. You can claim 40% of fuel, rego, insurance, servicing, interest on car loans or lease payments; basically everything.

Can freelancers claim marketing expenses?

Yes. Websites, domains, online ads, flyers, business cards—if it builds your client base, it’s deductible.

Comparison: Freelancer vs Employee Deductions

Freelancers get far more scope for deductions than employees—if they know the rules.

What if freelancers don’t declare all income?

Don’t risk it. The ATO cross-checks ABNs, invoices, bank accounts, and even PayPal/Stripe records. If you “forget” income, expect a please-explain letter and possible penalties.

How do freelancers avoid ATO red flags?

• Keep receipts for 5 years.

• Claim only what you actually spend.

• Avoid “creative” deductions.

• Use professional tax software, Gotax Online.

Case Study: Jess vs Dan

• Jess the Graphic Designer: Works from home, claims internet, laptop depreciation, Adobe subscription, and part of her rent (strict rules apply).

• Dan the IT Freelancer: Travels to clients, claims car expenses via logbook, tools, and business insurance.

Both keep records through GoTax’s Deduction Grabber and maximise claims without attracting ATO attention.

How can GoTax help freelancers?

GoTax’s ABN Return is built for freelancers. It asks you the right questions so you don’t miss deductions. 

And if you’re juggling freelancing alongside another business, the Self-Employed Tax Return ties everything together neatly.

Gotax says

Freelancers are brilliant at running their own show, but not always brilliant at tax. Don’t leave money with the ATO or get tripped up by dodgy claims. With GoTax, you’ll claim every cent you deserve, keep records sorted, and stay penalty-free.

Call to Action

Ready to get your deductions sorted? Start your Freelancer Tax Return today at Gotax.

Signup to GoTax and not only get your Tax return done, you can also ask as many questions as you like and get informed answers. You have access to the equivalent of a Tax Einstein — that is our very own D.e.r.e.k as well as the best credentialed Tax Accountants around.