Private ruling: Legal expenses
Date of advice: 26 October 2018
Published: February 2019
Ruling period: Year ending 30 June 2018
Date scheme commenced: 1 July 2017

Ruling: Q1: Can you claim legal expenses incurred in the course of employment? | A1: Yes. Please refer to ATO ID 2001/27 Income Tax Deductions and expenses: Legal expenses in course of employment.

Relevant facts and circumstances: ● You were employed. ● You were instructed to write a paper. ● You were reprimanded for comments included in the paper. ● You were suspended. ● You sought legal advice. ● You were issued a notice with the allegations. ● You responded to the notice denying the allegations. ● The allegations were withdrawn by your employer.

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