Private ruling: Deductibility - legal expenses
Date of advice: 2 October 2019
Published: January 2020
Ruling period: Year ended 30 June 20XX
Date scheme commenced: 01 July 20XX

Ruling: Q1: Are you entitled to a deduction for legal expenses incurred in respect of events that occurred while you were an employee? | A1: Yes. You are eligible to claim a deduction in relation to the legal expenses under section 8-1 of the Income Tax Assessment Act 1997 as the legal expenses were incurred to enable you to carry out your employment duties. Further information regarding "Deductions and Expenses: Legal expenses in course of employment" is addressed inATO Interpretative Decision ATO ID 2001/27.

Relevant facts and circumstances: You were employed full time by company X. You experienced an incident in the work place. You incurred legal expenses in relation to that incident. The legal expenses were incurred to enable you to carry out your employment duties.

Relevant legislative provisions: Income Tax Assessment Act 1997 section 8-1