Eligibility to Claim Work From Home Expenses

To be eligible to claim work from home (WFH) expenses, you must have actually worked from home during the relevant income year for work-related purposes. This applies to employees and self-employed individuals who incur additional running costs due to working from home.

The Australian Taxation Office (ATO) allows you to claim a fixed rate per hour worked from home to cover the extra running expenses you incur. These include home and mobile internet or data expenses, mobile and home phone usage, electricity and gas for heating, cooling, and lighting, as well as stationery and computer consumables like printer ink and paper. The fixed rate method simplifies record-keeping by combining these costs into one hourly rate, meaning you cannot claim these expenses separately if you use this method.

The hourly fixed rate depends on the income year:

• For 2024–25, the rate is 70 cents per hour.

• For 2022–23 and 2023–24, it is 67 cents per hour.

• For 2020–21 and 2021–22, it was 52 cents per hour.

To calculate your deduction, multiply the total hours worked from home by the fixed hourly rate.

Some expenses are not included in the fixed rate and can be claimed separately. These include the decline in value (depreciation) of office furniture and equipment such as chairs, desks, computers, and other depreciating assets, as well as their repairs and maintenance. Items costing $300 or less can be claimed as an immediate deduction if used mainly for work.

To claim, you must keep evidence of hours worked from home and receipts for any additional claims outside the fixed rate.