Surprising tax deductions you might be overlooking
Written and accurate as at: Apr 14, 2025 Current Stats & Facts
Many tax deductions are obvious and well known, but there are plenty that fly under people’s radar. Next time you're preparing your tax return, make sure you're not missing out on vital dollars back in your pocket.
Sunscreen and sun hats
Most people know that too much exposure to the sun isn’t good for you, but those who work outside for a living are particularly vulnerable. If your job has you working long hours outdoors (think builders, landscapers and lifeguards), you might be able to claim the cost of things like sunscreen and sun hats.
Briefcases and handbags
Yes, deductions are available for certain bags. But before you rush out to buy that flashy designer item you’ve had your eye on, remember that you’ll have to show that it’s for carrying work items like laptops, tablets and diaries. You’re allowed to use it in your personal life too, but when you claim your deduction you’ll have to apportion it.
Self-education costs
Self-education is admirable on its own, but if the course you’re studying will help you sharpen the skills you use in your current job or give you a chance to boost your salary, then you might be eligible to claim a deduction on certain related costs.
This can include course fees, textbooks, meal and accommodation expenses (if travel is involved), and even the depreciation on the computer you use for study.
Mobile phone bills
If you use your mobile phone for work, you might be able to claim a deduction for the work-related portion of your phone bill. Just make sure to keep detailed records so you can show how much of your mobile usage (both calls and internet) is work-related versus personal.
Subscriptions and memberships
Do you subscribe to any industry magazines or journals to help stay current in your field? If you’re not already being reimbursed by your employer, you might be able to claim the cost of those subscriptions come tax time. The same goes for the cost of membership in a union or a professional association.
Income protection insurance
The premiums you pay for income protection insurance — which is designed to replace your income if you’re unable to work due to illness or injury — are generally tax deductible. Just keep in mind that deductions won’t be available if your policy is through your super fund, or if the premiums are related to other forms of life insurance, like life cover or trauma insurance.
Investment property expenses
If you own a rental property, you probably already know you can claim the interest on your mortgage and expenses like land tax and council rates. But the list of available tax deductions doesn’t stop there. It might also include:
- Real estate agent fees
- Strata fees
- Water charges
- Maintenance and repairs
- Pest control
- Advertising for tenants
- End of lease cleaning services
- Insurance
Personal contributions to your super
Your super exists to provide you with an income in retirement, and the good news is it’s one of the most tax-friendly ways to save. If you top up your super from your take-home pay, you might be able to claim a deduction by submitting a Notice of Intent form to your super fund.
Provided you submit this in time (either before lodging your tax return or 30 June of the following financial year, whichever comes first), this will reclassify your after-tax contributions as concessional contributions, meaning they’ll be taxed at 15% rather than your personal tax rate.
Capital losses on investments
Losses on investments — be it shares, property, or other assets — can take a lot of the wind out of your sails, but you might be able to use those losses to offset any capital gains you’ve made. The good thing is capital losses can be carried forward indefinitely, so if you incur one now you can save it until you sell a profitable investment down the track.