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Tradies: Maximise Your Tax Deductions

Tradies: Maximise Your Tax Deductions and Keep More Cash in Your Pocket

Published: July 2025

Being a tradie isn’t just hard yakka on site—it’s hard yakka at tax time too.
Claiming the right deductions can mean the difference between a sad refund and a monster payday.

The good news?
With a little know-how (and the right advice), you can legally and easily maximise your tax deductions and keep more of your hard-earned cash.

Here’s your no-fluff, no-accountant-jargon guide to tradie tax deductions—and how to get it right.


Work-Related Deductions for Tradies: The Basics

Before we dive into the juicy claims, here are the golden rules:

  • You must have paid for the expense yourself (and not been reimbursed).

  • It must directly relate to earning your income.

  • You must keep records—receipts, invoices, logbooks—the lot.

No records? No deduction. End of story.


Claiming Vehicle and Travel Expenses

Not all travel is created equal. Here’s what you can and can’t claim:

Claimable Travel:

  • Trips between two different jobs on the same day

  • Travel between your worksite and an alternate work location (for the same employer)

Example:
Jake is an electrician.
He finishes a job at one site and drives straight to teach a TAFE electrical class later that day.
Jake can claim the travel between these work locations.

Non-Claimable Travel:

  • Travel from home to your usual worksite

  • Travel from your usual worksite back home

The ATO sees that as your "personal commute"—and no, you can’t claim it, even if your Hilux is loaded to the brim with gear.

Check out our guide to claiming vehicle expenses properly:
https://gotax.com.au/blog/maximise-your-car-expense-deductions


Tools and Equipment Deductions

Tradies love their toys—and the ATO lets you claim them (with rules, of course):

  • Under $300?
    Immediate full deduction in the year you buy it.

  • Over $300?
    You’ll need to depreciate it over its "effective life."

Example:

  • Lisa buys a new cordless drill for $250. Full deduction this year.

  • Lisa buys a full tool kit for $1,200. She'll claim it over several years.


Protective Clothing and Uniforms

If it keeps you safe or identifies you as a tradie—you’re usually good to claim it.

Deductible clothing includes:

  • Steel-capped boots

  • Hi-vis jackets

  • Hard hats

  • Branded uniforms with logos

Example:
Mark buys steel-capped boots and a hi-vis jacket—both needed for site safety. Full deduction.

Regular jeans and a generic hoodie from Kmart? Forget it.


Claiming Self-Education and Training

Want to level up your skills and stay ahead of the pack? You could be claiming your course costs too.

You can claim:

  • Courses that maintain or improve your current skills

  • Training related to your current job tasks

Example:
Sarah, a licensed plumber, enrols in a course on new green plumbing technology.
Her course fees, textbooks, and even some travel costs could be deductible.

More on self-education expenses here:
 

Other Deductions Tradies Often Miss

Don’t leave money on the table. You might also be able to claim:

  • Union fees or memberships in trade associations

  • Work-related phone and internet costs (keep a logbook)

  • Insurance for your tools and equipment

  • Subscriptions to professional trade magazines or sites

Example:
Tom pays $180 a year for a construction magazine subscription and $400 to insure his tools.
Both expenses are deductible.


Record-Keeping: Your Secret Weapon at Tax Time

The ATO doesn’t care if you had a busy year—you need to keep proper records.

  • Receipts and invoices for every expense

  • Logbooks for vehicle and phone usage

  • Diary notes for any small expenses you couldn't get a receipt for

Want it even easier?
Use the Gotax Deduction Grabber App to snap receipts and track expenses all year:
https://www.deductiongrabber.com.au


Quick Recap

  • You must pay for the expense yourself, it must relate to work, and you need proof.

  • Vehicle, tools, clothing, self-education, phone costs, union fees—they all add up.

  • Good records = bigger, safer refund claims.


Want to Maximise Your Tradie Tax Refund?

Don’t waste time wrestling with tax forms. At Gotax, we help tradies like you:

  • Claim everything you’re entitled to

  • Lodge online, fast and easy

  • Get the refund you deserve, without the stress

Start your tax return here:https://www.gotax.com.au/guest-user


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