If you run a trade business, 7 Common Tradie Deductions You Could Be Missing could be worth a look before another receipt disappears into the glovebox. The basic idea behind common tradie deductions is fairly simple – if an expense relates to running your business, you may be able to claim the business portion, but you need the records to back it up. 

The tricky part is remembering everything you have paid for.

Fuel is obvious. So are tools.

But what about merchant fees, software, laundry, your phone, or the paperwork you do from home?

Here are seven areas worth checking. 👇

1. Your Ute And Vehicle Costs

Your ute can be one of the biggest costs in the business, so it is also an area where good records matter.

The guide highlights expenses such as fuel, rego and insurance, repairs and servicing, tyres, tolls and parking. Depending on your circumstances and the method used, finance-related costs may also be relevant.

The important bit is the business-use portion.

For eligible taxpayers using the cents per kilometre method, the rate increased to 91 cents per kilometre from 1st July 2026 for the 2026-27 income year. ATO Software Developers

Alternatively, a logbook may be used where appropriate. The ATO’s tradie deductions guidance explains the different rules and records required.

So, before assuming every dollar spent on the ute is deductible, make sure you know which method applies to you.

2. Tools And Equipment

Drills, saws, testers, ladders, and other gear can add up quickly.

Your deduction records shouldn’t stop with the original purchase either. The guide also identifies repairs, replacements, safety gear and PPE as expenses worth tracking. 

How an asset gets claimed can depend on its cost, your business structure and the tax rules applying that year.

For 2026-27, eligible small businesses using the simplified depreciation rules can access the $20,000 instant asset write-off for qualifying assets costing less than $20,000. ATO Community

Bought something bigger for the business? Don’t assume it all gets claimed in one hit.

Check with your accountant about how it should be treated.

3. Protective Workwear

This is one of those areas where “I only wear it for work” doesn’t necessarily make something deductible.

The guide draws a clear distinction between protective or eligible workwear and ordinary clothing.

Steel caps, hi-vis and protective gear may qualify. Branded uniforms can also qualify, while ordinary jeans and a regular shirt generally don’t qualify just because you wear them on site. 

The ATO makes a similar distinction between protective clothing and conventional everyday clothing. Australian Taxation Office

You may also be able to claim eligible laundry and repair costs.

So don’t throw every Bunnings run and work shirt into “workwear” and hope for the best. 😬

4. Your Phone And Internet

How much business happens from your phone?

Quotes, calls from customers, supplier orders, job photos, emails, scheduling and messages with the boys can all happen from the same device.

That doesn’t automatically make 100% of your phone bill a business expense.

If you also use your phone or internet personally, you generally need to work out the work-related portion and keep records supporting the calculation. The guide specifically identifies phone and internet costs on a work-share basis.

The ATO also requires records showing work-related use when claiming phone and internet expenses. Australian Taxation Office

A sensible record beats taking a wild guess at tax time.

5. Software And Admin Costs

There are plenty of business expenses that never make it onto a job site.

Accounting software, job management systems, and time-tracking software are examples included in the guide.

It also highlights bookkeeping and accounting fees, along with bank and merchant fees on business accounts. 

Think about the systems you pay for every month to keep the business running.

Individually, some subscriptions might not look like much. Across 12 months, they can become a decent expense.

Keeping your books up-to-date week-to-week makes these costs much easier to identify than trying to remember them months later.

If keeping track of all of that is eating into your nights or weekends, our bookkeeping services for tradies can help keep the day-to-day books organised.

6. Licences, Tickets And Training

Licence renewals, industry tickets, white card renewals and relevant training can also form part of the costs you track for the business.

The key is that the expense needs the right connection to your work or business.

This is another reason to keep the invoice or receipt when you pay it rather than trying to reconstruct everything later.

The ATO says records should generally identify details including the supplier, amount, nature of the purchase, and purchase date. Australian Taxation Office

Five minutes filing it now can save a decent headache later.

7. The Admin You Do From Home

Quoting after dinner?

Catching up on invoices at the kitchen table?

Doing payroll or paperwork from a home office?

Some home-based business running costs may be deductible where the requirements are met. The guide specifically identifies home office running costs for tradies who quote and complete paperwork from home. 

However, this isn’t a licence to start claiming a random percentage of every household bill.

The ATO says you can only claim the portion relating to running the business, and you need records showing how you calculated it. Australian Taxation Office

So if Sunday afternoon regularly turns into paperwork time, keep proper records of the costs involved. Better still, get the books under control so Sunday can go back to being Sunday. 🍻

The Part That Matters Most – Keep The Records

There is a common thread running through almost every deduction above.

Keep the paperwork.

A deduction isn’t just about whether you paid for something.

You also need to show that the expense relates to earning business income and work out the private-use portion where an expense has both business and personal use.

As the guide notes, that private-use split is an area where tradies can either miss legitimate claims or claim too much. It also points out that larger assets may need to be claimed over time and that write-off rules can change. 

That’s why clean bookkeeping throughout the year matters.

Instead of arriving at tax time with a shoebox of receipts, you’ve got the transactions recorded, the paperwork attached, and the questions sorted while you can still remember what you bought.

Don’t Wait Until Tax Time To Find Out What You’ve Forgotten

Most tradies don’t deliberately miss expenses.

They get busy.

A receipt stays in the ute. A software subscription hits the card. A tool gets replaced between jobs. Then six months later, nobody remembers what the transaction was for.

Keeping your books sorted week-to-week gives your accountant better information to work with and gives you a much clearer picture of what the business is actually costing you.

📩 Want an easier way to keep track?

Download our Common Tradie Deductions guide and use it as a checklist throughout the year.

Because the best time to record a business expense is when you still remember what the bloody thing was.