What tradies can actually claim on tax (and what the ATO will knock back)

5 August 20266 min readThe Profit Cloud team
Australian tradie loading tools into a ute

Tradies leave more money on the table than almost any other line of work — usually because the receipts vanish, not because the claims aren't real. Here's the honest list.

Tools and equipment

Anything under $300 you can claim in full in the year you buy it. Over $300, you claim the drop in value over its life. Repairs, insurance on the tools and the interest on a tool finance deal are all claimable too.

The ute

You've got two ways: cents per kilometre (capped, no receipts needed, but you still need to show how you worked out the kays) or the logbook method, which claims a percentage of everything — fuel, rego, insurance, servicing, depreciation. For most full-time tradies the logbook wins by a long way.

Travel between two work sites in a day is deductible. The drive from home to your first site generally isn't, unless you're carrying bulky equipment that can't be left on site.

Clothing

  • In: hi-vis, steel caps, hard hats, sunscreen and sunnies if you work outdoors, branded uniforms.
  • Out: ordinary jeans, plain t-shirts, regular boots — even if you only wear them at work.

The ones people forget

  • Licences, tickets and renewals (white card, high-risk work licences)
  • Union or association fees
  • Phone and internet — the work-use portion
  • Home office hours if you do quotes and invoicing at the kitchen table
  • Income protection insurance premiums
  • Your accountant's fee from last year

What gets you audited

Round numbers with no receipts, 100% work use on a phone, and a ute logbook that starts on 1 July and stops on 3 July. Claim everything you're entitled to and nothing you're not — that's the whole game.

Want this handled for you?

Fees quoted before we start, registered agents, and no judgement about how far behind you are.

Lodge My Tax Return

Ready to get the numbers sorted?

Let's make accounting one less thing to worry about.

Tell us what's going on and we'll help you work out the next step.

No pressure. No accounting lecture. Just a straightforward chat.