The end of financial year is a great time to bag a bargain. And if you're shopping for work-related products, you might also be able to claim your new purchase as a tax deduction – winning!
So, the bad news first: tax deductions aren't exactly free money. (Sorry.) They don't equate to a dollar-for-dollar reimbursement in your tax refund. Instead, they help to reduce your taxable income, which is the amount the Australian Taxation Office uses to determine how much tax you owe for the year.
The good news? If you spend $300 or less on work-related expenses, you can claim the full amount as a deduction. And if you buy something that's for both personal and work use, you can claim the percentage of work-related use. So if you buy a $199 printer and use it for work for 50% of the time, you can claim $99.50 as a deduction. Spending more than $300? You can claim the depreciation of the item over its working lifespan.
With tax time closing in fast, here's our handy guide to tech products and what you can claim.
If you spend more than $300 on a laptop that you use for work, you can claim depreciation over two years.
If you're a small business owner, you can claim a laptop as an immediate deduction (up to $1000).
Use your phone for work? You can claim a percentage of the cost at tax time. Own your own business? You can claim it as an immediate deduction if you spend under $1000.
If you're setting up your home office and want all your gadgets to work fast and reliably, you'll need a fast wireless router for your home Wi-Fi.
Routers usually have a range of around 50 metres in line of sight, but obstructions like walls and furniture can shorten the range.
If you're thinking of swapping your internet provider, we've also assessed the best NBN plans.
Printers often tend to get discounted during EOFY sales, with retailers selling off old stock. Whether you run your own business or work from home occasionally, having a printer on deck always comes in handy.
It might seem like a simple piece of home office equipment, but buying a printer can be confusing. Should you go for laser or inkjet? Do you need a multifunction printer with a scanner too? Are you being upsold to a more expensive printer?
And while buying a printer can cost you as little as $100 or even more than $1000, buying ink cartridges can end up costing more than the printer itself. We found five surprising items that are cheaper than printer ink, including champagne and a luxury beauty product.
Most portable storage devices retail for less than $300, which means you can claim the full amount as a deduction at tax time.
For specific details, visit the ATO website.
For more information about reducing your taxable income, go to ato.gov.au/individuals. Or call in the experts: see a registered tax agent, who'll be able to help you figure out your deductions.