Private ruling: Workstation rental for a remote worker
Date of advice: 13 August 2025
Published: 20 October 2025
Ruling period: Year ending 30 June 20XX
Date scheme commenced: 1 March 20XX

Ruling: Q1: Can you claim a deduction for any part of the monthly workstation lease expense as a remote employee? | A1: Yes. You can claim a deduction for the expense of renting a workstation in the commercial office as your employer does not provide an office for you to complete your employment duties.

Relevant facts and circumstances: You provided a copy of your Offer of Employment which confirms you commenced employment with Company Z as a XXX XXX - XXX XXX on x XXX 20XX. You provided a copy of the Position Description (Description) on Company Z letterhead created XX XXX 20XX by the Australian Manager, XXX XXX. At point 5 of the Description the key result areas for the position of XXX XXX Manager are: • Develop and implement a business plan for the XXX XXX Region annually • Develop and implement a 12-month (January - December) budget by product annually • Achievement of XXX XXX sales budget annually • Ensure that the correct customer mix is achieved in XXX XXX Region • Ensure that the correct product mix is achieved in XXX XXX i.e. a mix of high-volume commodities and high margin niche products • The successful launching of new and differentiated products in the market will be a high priority • Identify and detail product requirements for XXX XXX that need to be introduced to the Company Z product range • Ensure internal Go to Market strategies are successfully rolled out • Ensure robust plans are in place to achieve the sales budget Ensure forecasting is in place and updated on a rolling 12-month basis for the entire state requirements • Ensure XXX XXX depot stock product is in place on a seasonal basis and doesn't exceed XX% of the sales volume for the state • Conduct a monthly stock count to ensure accurate inventory every month • Conduct half yearly and annual performance reviews of the strategy for West Australia • Provide manager with a monthly report • Successfully undertaking administration duties associated with the role • Adoption and demonstration of CompanyZ's values, policies and business processed • Microsoft office - word, excel, PowerPoint Your employer is in the XXX XXX industry and services XXX distributors. Your position requires you to cover the area of XXX Land Division from XXX to XXX. You provided a letter issued by the XXX XXX for Company Z created XX XXX 20XX which confirmed they do not provide an office for you to work from and therefore are required to work from home. You advised you are required to store samples and marketing materials to perform your duties. You advised you are unable to work from your residential address and store materials due to lack of space. You commenced the hire / lease of a workstation and storage at a shared office complex in XXX on an ongoing basis. A copy of the Serviced Office License to Occupy which is dated X XXX 20XX between Company Y and yourself and a Letter of Engagement dated X XXX 20XX issued by The XXX XXX. You provided an invoice from The XXX XXX where the workstation is hire / rented detailing the amount of $XXX.XX for the month of XXX 20XX which was directly debited on XX XXX 20XX from a nominated bank account. You provided a copy of a XXX bank statement held in your name confirming that on XX XXX 20XX a payment for the amount of $XXX.XX was made to the XXX. You confirmed that you do not receive reimbursement for the rental of the workstation. The 'Out of Pocket' expenses referred to in your Offer of Employment referred to travel costs to perform duties which were fuel, meals and accommodation only. You provided a sample monthly itinerary with an explanation of how your monthly work responsibilities are structure around administration requirements and client visits. You confirmed that the samples being stored are currently a XXkg bag of XXX XXX which enables you provide samples to clients that you are visiting. The remainder of other chemicals are stored and distributed at a third-party warehouse where client's orders a filled daily.

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