Tax Tips for Nurses

Tax Deduction Claims for Nurses, Midwives, and Direct Carers

Author: Aziz Hassan
May 13, 2021 · 5 min read

Workers in the Health care sector are a vital part of our society, this year more than ever before.

For those working in the industry, read our tax tips for possible deduction options and benefits this coming tax season.

Health care workers are provided with a wide range of claim options unique to their profession, this includes nurses, midwives, and direct carers.

Below you make your claim there are a few things you need to remember. In order for your claim to be accepted, your expense must:’

  • Be spent from your own money, and was not returned to you through any work-related means.
  • It must relate directly to your work, and be a vital cost undertaken to complete that work.
  • There has to be a clear record of the expense so that you can prove the legitimate nature of any claim.
  • The expense cannot be for personal use and must be tied strictly to the requirements of your profession.

Deductions You Can Claim – Nurses, Midwives, and Direct Carers

  • Travel costs can be deducted, under certain circumstances. This does not include your commute; however, it does include:
    • Travel between workplace locations, within your working hours.
    • Travel to a second job, after your health care work.
  • Uniform costs can be deducted, as long as the uniform is job-specific. This includes, but not limited to: specific shoes, stockings, socks, professional attire, or logo bearing clothing that is an expected part of your work uniform.
  • Union fees.
  • Donations.
  • Any required registrations such as AHPRA (Australian Health Practitioner Regulation Agency).
  • Tax Agent fees.
  • Any clothing that is occupation-specific is also deductible. This includes any article of clothing that would make you immediately recognizable health care worker
  • Health care workers often need to strictly dry-clean their clothes, and the costs of this are deductible. As well as any other strict uniform cleaning guidelines that incur a cost for you personally.
  • If you undertake self-education for the purpose of your job, then the cost of this is deductible. For example a first aid course, a wound care course, or an elderly care course.
  • If you have an annual practice certificate that is required for your job or are required to attend regular seminars, conferences, or training courses, then the cost of all of these is deductable.
  • Any journals, periodicals, or magazines that are required for your job.
  • Any tool that is used in your trade specifically, and not for personal use.
  • Any pagers or mobile costs can be deducted if you are on call for the majority of the tax year.
  • Costs outside of the norm, but relate to your work, are also likely deductable. If you have spent your personal income on anything for your job, then consult one of our Immunity Accounting specialists to see how it can be deducted.

Deductions You Can’t Claim – Nurses, Midwives, and Direct Carers

  • Commute travelling costs, regardless of the distance you must travel, cannot be claimed. However, there is one exception to this rule. If you are required to transport heavy equipment to and from work, then you can deduct your commute costs.

. To be eligible for a deduction, this equipment must:

    • Be specifically required by your employer to be transported.
    • Essential to you earning your income.
    • No secure area is provided at work for you to store this equipment.
    • The equipment is at least 20KG in weight, or difficult to transport.

(Note: To make a deduction of this nature, a logbook for your travel will be required. You can ask our Immunity Accounting specialists how to best tailor your logbook to make claiming a deduction a simple process.)

  • Any costs incurred from cleaning plain clothing, that you happen to wear at work, cannot be claimed. This includes items such as simple white shirts, black pants, etc.
  • You cannot claim a deduction for study that is undertaken to transition your career path through the health care industry. For example: studying as a carer to become a registered nurse.

Record Keeping is Vital

Keeping your records in order, whilst working in the health care industry, can be difficult. However, to make the most out of tax time, there are a few records that you should focus on keeping in order. These include:

  • Receipts
  • A logbook for work travel
  • Bank statements
  • Credit card statements
  • Any work-related invoices

With just these pieces of information, our accountants at Immunity Accounting can give you the best possible return this coming tax season.

Do you still a question about lodging your tax return? Contact Immunity Accounting, our experienced tax specialists will be able to help. Call 1300 514 191  or book an appointment online