Shortcut Method Extended – Working From Home During COVID-19
To make it easier for people to claim deductions for working from home due to COVID-19, The Australian Taxation Office are accepting a temporary shortcut method for calculating home office expenses from 1 March 2020 until 30 September 2020.
Recent events have pivoted the workforce to the home front. If working from home has become your new normal, this shortcut method will allow you to claim a rate of 80 cents per hour for all deductible additional running expenses. It's a simple way to calculate these expenses with minimal record keeping requirements.
This means, you will be able to use the shortcut method to calculate your working at home expenses for the period from:
1 March 2020 to 30 June 2020 in the 2019–20 income year, and
1 July 2020 to 30 September 2020 in the 2020–21 income year.
In most cases, if you are working from home as an employee, there will be no capital gains tax (CGT) implications for your home.
Please contact our office for more information on; claiming the shortcut method, which working-from-home expenses you can claim, and other methods of calculating your working from home expenses. As always, we're here to help.