Private ruling: Work related expenses
Date of advice: 17 October 2019
Published: January 2020
Ruling period: Year ended 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Are you entitled to a deduction for travel, accommodation and taxi fares? | A1: No.

Relevant facts and circumstances: You receive income protection payments. Your employer requested that you see a doctor interstate. You incurred costs in relation to airfares, accommodation and taxi fares.

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 (ITAA 1997) allows a deduction for all losses and outgoings to the extent to which they are incurred in gaining or producing assessable income except where the outgoings are of a capital, private or domestic nature, or relate to the earning of exempt income. Generally medical expenses have no direct connection to the gaining or producing of assessable income. The medical expense relates to a personal medical condition and is private in nature. You have incurred expenses in relation to travel to a doctor. You are receiving income protection insurance payments. The expenses are of a private nature as they put you in a position to receive the insurance payments. The expenses are not an allowable deduction under section 8-1 of the ITAA 1997.