Claiming Tools & Gear on your Tax for Employed Tradies
Let’s be real — if you’re an employed tradie, you probably spend a fair chunk of cash on tools, boots, uniforms, and gear each year. 💸 But here’s the good news: you might be able to claim a heap of it back at tax time if you know what you’re doing.
A lot of tradies miss out on legit deductions simply because they don’t know what they can claim or they leave it all up to the accountant without understanding it. Don’t leave money on the table! Let’s break it down so you can go into tax season switched on and ready to maximise your return. ⚡
What Can Employed Tradies Claim on Tax?
✅ Tools and equipment (purchased for work)
✅ Protective clothing and gear (like steel caps, hi-vis, safety goggles)
✅ Laundry costs for work clothes (if not reimbursed)
✅ Union or association fees
✅ Work-related travel expenses (if you use your own car for work tasks)
✅ Phone expenses (if you use your phone for work calls or site coordination)
That’s a pretty decent list, right? But let’s dive deeper into the big one: claiming your tools and gear.
Claiming Tools and Gear: The $300 Rule
Here’s the golden rule: if a work-related item you purchase costs $300 or less, you can usually claim the full amount as an immediate deduction in that year.
🛠️ Example: You buy a $280 cordless drill specifically for work — claim it in full.
But if an item costs more than $300, you generally need to depreciate it over time (usually over the lifespan of the tool), claiming a portion each year until the value runs out.
🛠️ Example: You buy a $1,200 tool kit — you can’t claim the full $1,200 upfront, but you can claim annual depreciation over several years.
Important: Keep Those Receipts!
We can’t stress this enough: no receipt = no claim. 🧾 Keep digital or paper copies of every work-related purchase you make. Even if you pay with cash, ask for a receipt or tax invoice. Your accountant will thank you — and your tax return will look a lot healthier.
Protective Clothing and Gear
If you’re required to wear specific protective clothing or footwear on-site, you can claim these costs. Think:
👷 Steel-capped boots
👕 Hi-vis vests and shirts
🦺 Hard hats, gloves, ear protection, safety glasses
But remember: regular clothes (like plain jeans or non-branded work hoodies) aren’t claimable, even if you only wear them on-site.
Laundry Costs
If you wash your hi-vis or work uniforms at home, you can claim laundry expenses. You can use a simple estimate (like the ATO-approved cents-per-wash rate) or keep a logbook of your actual costs.
👕 Pro tip: If your work clothes are dry cleaned, you can also claim dry cleaning costs.
Union Fees and Association Memberships
If you’re part of a union or professional trade association, your membership fees are fully deductible. That means you can claim back the cost of staying connected to your industry.
Work-Related Travel
If you use your own car to travel between job sites (not just commuting from home to work), you can claim mileage or travel expenses. 🚗 This doesn’t include your normal drive to the same site every day, but if you’re moving around or running errands for work, those trips may count.
Keep a logbook or track your work-related kilometres to make this claim stick.
Phone and Internet Costs
Do you use your personal phone to take work calls, coordinate with your boss, or handle site admin? 📱 You can claim a portion of your phone bill. Just figure out roughly what percentage of your phone use is work-related (and be reasonable!), and apply that to your claim.
Final Word: Get Smart With Your Tax
Tax time doesn’t have to be a pain, and you shouldn’t be leaving money on the table just because you didn’t know better. Know your deductions, keep good records, and make sure you’re claiming everything you’re entitled to. 💪
If you’re not sure where to start, work with a good trade-focused accountant who understands the ins and outs of construction and trade work. They can help you maximise your deductions, stay compliant, and maybe even score you a bigger refund.
Want a printable checklist or a quick guide to tax claims for tradies? Let the Intrade crew know — we’re here to help you keep more of your hard-earned cash.