# ATO: Reporting income or claiming a deduction?



## Jack Malarkey (Jan 11, 2016)

From the Australian Taxation Office’s Small Business Newsroom:









Reporting income or claiming a deduction?


Tips on income to include and expenses to claim, plus check out our new toolkit.




www.ato.gov.au





*Reporting income or claiming a deduction?*










*12 July 2021*

When you're lodging your business tax return each year, it’s important to include all income you make through your business.

This includes income you earn from:

personal services you provide
investments
the sharing economy, such as ride-sourcing
assessable government grants and payments, such as JobKeeper and JobMaker Hiring Credits.
You might receive payment in the form of:

cash and digital payments
vouchers or coupons, such as state government stimulus vouchers.
You can claim a deduction for most of the costs of running your business.

If you’re in an industry that requires physical contact with customers, such as healthcare, retail or hospitality, you can claim deductions for expenses related to COVID-19 safety. This includes hand sanitiser, sneeze or cough guards, other personal protective equipment and cleaning supplies.

Keep in mind the three golden rules for deductions:

The expense must have been incurred for your business.
If the expense is for a mix of business and private use, only claim the portion used for your business.
You must have records to substantiate the expense and show how you worked out the business portion.
Remember, registered tax agents can help you with your tax.

*Next step:*

Check out the Tax Time 2021 toolkit for small business
*Find out about:*

Assessable income for business
Business tax deductions
*See also:*

One-stop shop for useful information on tax and super – Supporting your small business
Occupation and industry specific guides to help employees work out what they can claim.


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## Sandhills (Feb 9, 2018)

Thanks Jack the other 3 golden rules for a happy life are 

Avoid the police 
Avoid lawyers
Avoid the tax office 
Avoid online dating

Yes well is 3 ever enough?😁


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