News & Tax Insights

Expenses of a self education course to keep up to date or to better enable you to discharge your duties or to obtain further qualifications if it will lead to an increase in earnings, are deductible. Expenses which qualify for deduction include: Tuition or course fees, textbooks, professional journals and photocopying fares to attend overseas study tours, conferences or seminars or and educational institution, accommodation and meal expenses if you are required to be away from home overnight (but not if you are actually required to live away from home), vehicle expenses in travel between home and the educational institution…

Deductibility of interest depends on the use to which the borrowed funds are put. Always reduce your home loan before reducing any business borrowings. You can use the equity in your home as collateral to borrow money for business purposes. This will not affect the deductibility of the business expense. It is better to have a separate offset  account to park surplus funds. If you have business borrowings and make repayments you will be denied deductibility if you redraw for private purposes. However, if you have an offset account you can draw that out again for private purposes without adversely…

Legal costs, stamp duty, mortgage preparation and valuation fees, broker's charges, etc are deductible if business related and should be pro rated over the period of the loan, up to a maximum of five years.