Common Tax Deductions for Tradies at EOFY

As EOFY approaches, many tradies start sorting receipts, checking invoices, and trying to remember what they spent money on throughout the year. While most people remember the obvious claims like fuel or tools, plenty of smaller expenses often slip through the cracks.

Knowing which tax deductions for tradies can actually be claimed may help reduce your taxable income and give you a clearer picture of where your business money has gone over the financial year.

Whether you’re an employee tradie or running your own business, here are some of the commonly forgotten deductions worth checking before lodging your return.

Protective Clothing and Safety Gear

Workwear is one of the most common claims, but tradies often forget how many items actually qualify.

Generally, you may be able to claim expenses for protective clothing and safety equipment used specifically for work, including:

• Steel-capped boots
• Hi-vis shirts and jackets
• Gloves
• Safety glasses
• Hard hats
• Ear protection
• Sunscreen for outdoor work
• Sun hats and sunglasses used on site

If the item protects you from injury or illness while working, there’s a good chance it may be deductible.

Laundry expenses for eligible work clothing may also be claimable. Even if you don’t have receipts for every wash, small laundry claims under the ATO threshold may still be accepted if you can explain how you calculated them.

Small Tool Purchases

Many tradies remember to claim major equipment purchases but forget the smaller tools bought throughout the year.

That includes things like:

• Drill bits
• Tape measures
• Batteries
• Extension leads
• Replacement blades
• Caulking guns
• Paint brushes and rollers
• PPE refills
• Tool belts

Small purchases add up quickly over 12 months, especially for tradies constantly replacing worn equipment.

For tools costing $300 or less that are used solely for work, you can generally claim an immediate deduction. More expensive items are usually claimed over time through depreciation.

If you purchased tools partly for personal use, only the work-related portion can be claimed.

Vehicle Expenses Beyond Fuel

Vehicle claims are another area where tradies either underclaim or incorrectly claim expenses.

Fuel is only one part of the picture. Depending on your vehicle type and how it’s used, other claimable costs may include:

• Registration
• Insurance
• Repairs and servicing
• Loan interest
• Tyres
• Oil and maintenance
• Depreciation

For tradies using utes, vans, or vehicles carrying bulky equipment, work-related travel may qualify under specific ATO conditions.

If you’re using the cents per kilometre method, remember that this already includes running costs like fuel and servicing, so these cannot be claimed separately.

Good record keeping matters here. Logbooks, diaries, and trip tracking apps can make EOFY much easier.

Phone and Internet Costs

Many tradies rely heavily on their phones for work but forget to claim the business-use portion of their phone and internet bills.

Calls to clients, quoting jobs, supplier communication, scheduling, navigation, invoicing, and job management apps may all contribute to a legitimate claim.

You may also be able to claim part of your:

• Mobile phone bill
• Internet plan
• Tablet data usage
• Work-related software subscriptions

The important part is separating personal and work use. Even a reasonable estimate based on usage patterns can help support your claim.

Licensing and Tickets

Industry licences and permits are often overlooked because they don’t feel like daily operating costs.

Depending on your work, deductible expenses may include:

• White Cards
• Forklift licences
• Heavy vehicle permits
• Working at heights tickets
• Industry renewals and certifications

However, standard driver’s licence costs are generally not claimable.

If the licence or permit directly relates to your current work duties or business activities, it may qualify.

Self-Education and Upskilling

Training directly connected to your existing trade or business may also be deductible.

Examples may include:

• Short courses
• Industry seminars
• Safety certifications
• Software training
• Trade-specific workshops

If the course helps maintain or improve the skills you currently use for work, it may be claimable.

Travel costs connected to attending training may also qualify in some situations.

Consumables and Site Supplies

Many tradies spend money on everyday consumables without thinking twice about them at tax time.

Items commonly forgotten include:

• Masking tape
• Drop sheets
• Cleaning products
• Gaffer tape
• Printer ink
• Replacement machine belts
• Rags and wipes
• Hand sanitiser and protective cleaning supplies

Individually, they may not seem significant. Across an entire financial year, they often become a sizeable business expense.

Claims Without Receipts

Receipts are always best, but there are situations where claims may still be possible without them.

According to ATO guidance, work-related expenses totalling $300 or less may not require receipts, although you still need to explain:

• What the expense was
• How you paid for it
• How it relates to your work

There are also separate rules for:

• Laundry claims under certain thresholds
• Small expenses under $10
• Car expenses using the cents per kilometre method

That doesn’t mean you should rely on memory alone. Digital records, bank statements, diary notes, and expense tracking apps can still help support your claims if questions come up later.

Record Keeping Still Matters

One of the easiest ways to miss deductions is poor record-keeping throughout the year.

Waiting until June to sort through glovebox receipts usually means things get lost, forgotten, or left unclaimed.

Keeping digital copies of receipts, using bookkeeping apps, or separating work expenses into dedicated accounts can make tax time far more manageable.

The ATO generally requires records to be kept for at least five years, particularly for depreciating assets and business expenses.

Why Visibility Matters for Tradies at EOFY

EOFY is also when many tradies take a closer look at cash flow, workload consistency, and where new jobs are coming from.

For businesses looking to secure more leads heading into the second half of the year, having an active online presence can make a difference. Many homeowners begin planning renovations, repairs, landscaping, and maintenance projects during winter and early spring.

Listing your services on ServiceSeeking can help tradies stay visible to customers searching for qualified professionals across a wide range of trades.

The more organised your business operations are, including your leads, expenses, and records, the easier EOFY tends to be.