All small business owners are encouraged to apply three simple rules when claiming their business expenses
- Expenses have to be business related
- If the expenses are mixture of private and business use, you are allowed only expenses that are used for business purpose
- Lastly you must have records for the expenses claimed in your business
Expenses that are not allowed in to claim against business income
- Fines and penalties
- Any expenses that are for private use
- Always claim your expenses without GST portion for businesses that are registered with GST
- Must have evidence to prove the expenses are for business related