Tax time 2024

It’s that time of year again when we all need to lodge a tax return with the Australian Taxation Office (ATO).

Remember: your ANMF membership fees are tax deductible as a work-related expense.

You can download your ANMF tax receipts for the 2023/24 financial year via the member portal. We recommend downloading your statement on or after 4 July 2024 to ensure all payments are included on it. Tax statements for previous financial years are also available if required.

The ATO provides a guide to the deductions that nurses and midwives can claim. Many of the deductions listed will also apply to personal care workers.

To claim a deduction for work-related expenses:

• you must have spent the money yourself and were not reimbursed by your employer
• the expenses must be directly related to earning your income
• you must keep a record of your expenses
• you can only claim the work-related part of expenses.

What can I deduct?

Some key deductions include:

Annual registration fees

You can claim a deduction for the cost of renewing your annual NMBA registration, as you need it to work in your employment.

Note: The initial cost of getting your NMBA registration cannot be claimed as a deduction, however, because you incur that expense to enable you to start employment, not while earning your income.

Overtime and other meal expenses

You can claim overtime meal expenses if you buy and eat the meal while you are performing overtime, as long as the following conditions apply:

• you receive an overtime meal allowance under an industrial award or agreement
• the allowance is on your income statement as a separate allowance (not rolled into your salary)
• you include the allowance in your tax return as income.

You can also claim a deduction for the cost of meals you incur when you are travelling overnight for the purpose of carrying out your employment duties – for example, to attend a work-related conference, seminar or training course.

Car expenses

You can claim the cost of using a car you own (but not one you use under a salary sacrifice or novated lease arrangement) when you drive directly between separate jobs on the same day, or between alternate workplaces for the same employer. You can also claim the cost of a taxi or ride-share fare used for the same purpose.

If you claim car expenses, you need to keep a logbook to determine the work-related portion.

Note: you cannot claim a deduction for the cost to obtain or renew your driver’s licence, even if you must have it as a condition of employment. This is a private expense.

Stationery

You can claim a deduction for the cost of logbooks, diaries and pens that you use for work. For example, a diary to keep a record of your CPD.

First aid courses and self-education expenses

If you are a designated first aid person and need to complete first aid training to assist in emergency work situations, you can claim the cost of the first aid training.

You can claim self-education expenses if your course, seminar or conference relates directly to your current job and it:

• maintains or improves the skills and knowledge you need for your current duties
• results in or is likely to result in an increase in income from your current employment. For example, continuing professional development to maintain your registration or taking a Master of Health (Advanced Nursing) to maintain or improve the specific skills and knowledge you require as a nurse.

Clothing and laundry expenses

You can claim the cost of buying, hiring, repairing or cleaning clothing if they are:

• protective
• a compulsory uniform.

If your laundry claim (excluding dry-cleaning expenses) is $150 or less, you don’t need to keep records but you will still need to calculate and be able to show how you worked out your claim.

Agency commissions and fees

You can claim a deduction for commission payments you made to a nursing agency. You can’t claim if your employer has paid the commission payment, or for upfront fees, joining fees or search fees paid to a nursing agency.

Other expenses

You can claim the work‑related portion of other expenses that relate to your employment, including:

• tools and equipment, such as a stethoscope or a fob watch
• Phone and internet expenses if your employer requires you to use your personal devices for work
• personal protective equipment you paid for, if your job required close proximity with patients
• If you use a tax professional to do your tax, you can claim their fee too.

The Stage 3 tax cuts are now in place: Am I better off?

In January, Prime Minister Anthony Albanese announced changes to the already legislated Stage 3 tax cuts. These changes mean that the vast majority of ANMF members will be financially better off from 1 July 2024.

The revised cuts will see 11 million taxpayers earning up to $146,000 per year – including the majority of ANMF members – paying less tax than they would have paid under the original version of the Stage 3 tax cuts, as conceived by the Morrison Coalition Government in 2019.

For many members, the new savings are significant.

Under the Morrison Government’s original Stage 3 proposal, a public sector EN level 2 year 5 earning a base rate of just over $71,000 would have received a tax cut of $654 per year. The Albanese Labor Government’s revised Stage 3 cuts now see that same EN saving $1,458 dollars per year – more than double the original cut.

A public sector RN or midwife grade 2 year 8 on a base salary of $95,378 will now receive a tax cut of $2,063 compared with $1,259 under the original plan – putting an extra $800 a year back in their pockets.

What will you save?

*public sector rates; not including penalties, loadings or allowances