Private ruling: Deduction for storage unit
Published: August 2014
Ruling period: Year ended 30 June 2014
Date scheme commenced: 1 July 2013

Ruling: Q1: Are you entitled to a deduction for the cost of leasing a storage unit? | A1: Yes.


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

Reasons for decision: Summary: Section 8-1 of the Income Tax Assessment Act 1997 allows a deduction for any losses or outgoings to the extent to which they are incurred in gaining or producing assessable income except to the extent outgoings are of a capital, private or domestic nature. Taxation Ruling TR 95/14 Income tax: employee teachers - allowances, reimbursements and work-related deductions states that a deduction is allowable for the cost of teaching aids . Where you are required to rent a storage area to store the teaching aids the storage costs are also deductible.

You have leased a storage unit to hold the teaching aids that you do not have room to store at home. | You do not keep any personal items in the storage unit.