At Certum Advisory, we’re here to make tax time straightforward, and that includes helping you avoid deductions that could land you in trouble with the ATO.
Every year, some taxpayers try their luck by including personal or unusual items as work-related expenses. The ATO has seen it all: swimwear, dog food, air fryers, gaming consoles, and even monthly haircuts. While these examples may sound amusing, they serve as a timely reminder: if it’s not directly related to earning your income, it’s not deductible.
Real ATO Examples of Dodgy Claims
Here are some genuine claims the ATO has rejected in recent years:
- Gaming gear & gadgets – Consoles, paraphernalia, and even multiple vacuum cleaners claimed as “work tools.”
- Dog food for a Jack Russell – A tradesman argued it was for a guard dog protecting his equipment. Denied.
- Swimwear for a truck driver – Claimed as work-related to “cool off in transit.” Rejected.
- Haircuts as uniform maintenance – Even for army personnel, grooming is private, not deductible.
- Fashion industry purchases – One worker attempted over $10,000 in clothing and function costs. The ATO said the clothing was conventional, not work-specific.
- Cheese in a can & a child secretary – A salesman tried to claim both snack foods and his 7-year-old son’s “secretarial services.” Both denied.
Funny as they sound, these cases highlight a serious truth: trying to claim personal expenses as business deductions can result in hefty penalties.
For a claim to be accepted, it must:
- Be directly connected to earning your income.
- Have been paid by you, with no reimbursement.
- Be supported by proper records (receipts, invoices, or logbooks).
The Risks of Dodgy Claims
Claiming expenses you’re not entitled to can lead to:
- Repayment of incorrect refunds (plus interest).
- Penalties of up to 75% of the shortfall.
- Increased risk of audits and ATO scrutiny.
How Certum Advisory Helps
At Certum Advisory, we help our clients:
- Maximise legitimate deductions while staying compliant.
- Avoid costly mistakes and rejected claims.
- Gain peace of mind with expert guidance at tax time.
The bottom line? Dodgy deductions might sound funny in the news, but in reality, they can cost you far more than they save.
Contact Certum Advisory today to book your tax consultation and get your return right the first time.
