Private ruling: Work related expenses
Date of advice: 1 October 2025
Published: 17 November 2025
Ruling period: Year ended 30 June 20XX
Date scheme commenced: 1 July 20XX

Ruling: Q1: Are you entitled to a deduction under section 8-1 of the Income Tax Assessment Act 1997 (ITAA 1997) for the cost of accommodation and meal expenses for the X-week period you were required to attend another hospital as part of your internship rotation provided you can substantiate your claim? | A1: Yes. Taxation Ruling TR 2021/4 Income tax and fringe benefits tax: employees: accommodation and food and drink expenses, travel allowances, and living-away-from-home allowances states: 10. However, where an employee travels and stays away from their usual residence overnight in the course of performing their income-producing activities and incurs accommodation and food and drink expenses, these expenses will generally be deductible under section 8-1. For the purposes of this Ruling, an employee who stays away from their usual residence overnight in the course of performing their income-producing activities will be referred to as 'travelling on work'. In your case, you are considered to have been 'travelling on work' during the X week period you were required to work at another hospital as part of your internship. Therefore, you are entitled to a deduction for the accommodation and meal expenses you incurred during this period provided you have written evidence that meets the substantiate requirements of subsection 900-115(2) of the ITAA 1997. Note that the 'reasonable amounts' exception to substantiation does not apply to you as you did not receive a travel allowance from your employer.

Relevant facts and circumstances: You are employed as a medical intern based at public hospital Y in city A. You are employed on 2-year contract. Internship is mandatory for recently qualified junior doctors before they receive full registration as a doctor. Junior doctors are required to work as an intern on rotation through various medical departments over two years. You were based in public hospital W in city B for a temporary period of X weeks. Your employer has as association with public hospital W to enable such a rotation. You continued to maintain and pay for your rental accommodation in city A during your rotation to public hospital W. You incurred costs for temporary accommodation and meals. You received no allowances in relation to these costs. Your employer did not provide accommodation. You were not accompanied by another person during your rotation at the public hospital W. A family member lives in city B but had temporarily vacated the room they rent in city B so you occupied this room without cost to you for the first X weeks of your rotation. You incurred the costs of meals during this time. You arranged private board for the second X weeks of your rotation. The private board cost $XXX a week which included accommodation and some meals. You incurred some additional costs for meals during this period.

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