NDIS support workers and carers can incur a lot of different expenses while on the job. Let us help make your tax time easier and show you what can and can’t be claimed as a tax deduction below.
You may be able to claim costs you incurred if you were required to stay somewhere overnight for work-related purposes. These are considered travel expenses and can include accommodation, meals or other incidentals you purchased while away. If you are directly reimbursed for these expenses you may not be entitled to claim the costs in your income tax return, however if you receive a taxable travel allowance this won’t affect your deduction.
If you are required to work a period of overtime and receive a taxable overtime meal allowance you can claim a deduction for the food you buy and eat while working that overtime.
Food that you buy while with a client during ordinary work hours is generally going to be considered private and not deductible in your tax return, examples include while taking a client to a café or a movie.
NDIS support workers can do a considerable amount of travel. There are two ways you can claim expenses for your vehicle:
Under the logbook method, you will be required to keep a logbook that records certain details about your work trips over a 12 week period such as: the opening and closing odometer, the length and reason for the drive and the total distance covered. This can be used to calculate a work related usage of your car which determines how much of your actual running costs (fuel, insurance, depreciation, interest, registrations and insurance etc) that you can claim for your car.
There are many apps available to help make it easier to track the details required in order to use the logbook method. This method will generally provide the greatest deduction if your work usage of your car is high.
You can also choose to use the ATO’s standard deduction rate for each kilometre you drive, up to a maximum of 5,000km. This rate changes most years and as of the 2023 financial year is a deduction of 78 cents per kilometre traveled (for a maximum deduction of $3,900). This method does not require a logbook but you do need to be able to show how you calculated the distance travelled.
You generally cannot claim a deduction for car trips between your home and your regular workplace as this is considered private travel. You can however claim the cost of driving from one client to another during your workday, between two separate workplaces, or if you are required to carry excessively bulky equipment in your car.
You can claim the cost of work-related training courses such as first aid, health and safety training or any other course that is linked to maintaining the skills or upskilling as required in your current job. Claims can include the cost of the course as well as any books, stationery, computer expenses or home office costs.
You can also claim for seminars or conferences that you are required to attend as well as related travel costs (keeping in mind you might have to adjust for any private portion of the travel).
There are many other potential deductions that can be claimed as an NDIS support worker, including but not limited to:
AFS & Associates are your partners at tax time. Get in touch if you would like assistance with your claims as an NDIS worker.