Quick reference guide
Employee tradie tax deductions: what to track
A simple receipt checklist for employed tradespeople.
Quick checklist
- Tools and protective gear paid personally.
- Training, licences, and union fees.
- Receipts for repairs or replacements.
- Notes for travel between work sites where relevant.
Employee, not business
If you are salaried or wages-based, your deductions are different from running a full business. Tools, protective gear, training, and certain travel may still matter.
That distinction matters because business expense lists online can overpromise for employees. Keep the record, then get the claim checked.
Track replacements and repairs
Small tool replacements and protective items are easy to buy on the way home and forget by June.
Forward the receipt immediately and add a short category like tools, PPE, training, or licence.
Avoid vague notes
A receipt plus a category is more useful than a memory. Capture the proof while it is fresh.
If the receipt does not clearly explain the work connection, add a short note before the context fades.
Common mistakes to avoid
- Claiming PPE that the employer supplied or reimbursed. Only personally paid, unreimbursed protective gear belongs in your records.
- Lumping a $1,200 power tool into a single immediate deduction. Items above $300 typically need to be depreciated under decline-in-value rules.
- Treating the daily commute to a regular site as work travel. Travel between sites on the same day is different — keep separate notes for that.
- Claiming a vehicle without a logbook or kilometre record. Without contemporaneous evidence, work-related vehicle claims often can't be substantiated.
Receipts to search for
Frequently asked questions
Can employee tradies claim tools and equipment?
If you paid for tools yourself and use them to earn your income, they may be deductible. Items at or under $300 and used solely for work are typically claimed in the year of purchase. Items over $300 are usually depreciated. Keep the receipt for each.
What protective items are deductible?
Personally paid PPE required for your role — steel-cap boots, hi-vis, hard hats, safety glasses, gloves, sun protection — is generally claimable. Ordinary clothing isn't, even if you wear it on site.
Can I claim travel between sites?
Travel between two different work locations on the same day can sometimes be claimed using a logbook, kilometre method, or actual costs. Travel from home to your regular site is generally not deductible. Keep a contemporaneous trip record if you drive between sites.
Are licence renewals and tickets deductible?
Licences, certifications, and tickets required to perform your current role (white card, working at heights, EWP, forklift, etc.) are generally deductible if you paid for them yourself. Keep the receipt.
What about phone and internet I use to take site instructions?
The work-use percentage of a personal phone or home internet plan can be claimed. You need a reasonable basis — usually a four-week diary or call log showing the proportion of work use. A registered tax agent can help you set the percentage.
Sources
Last reviewed 29 Apr 2026 by Kalana Vithana. TaxBoy is not a registered tax agent and this article is general information, not tax advice.