There are over 8 million taxpayers claiming work-related deductions and the Australian Taxation Office (ATO) are checking them out!

In 2014/15 approximately 450,000 income tax returns were scrutinised and that number is climbing every year as technology advancements are made.

The following weeks will see me exposing some of the dodgy deductions the ATO have picked up on, I hope you enjoy the read.

Case study 4 – Car expenses

A taxpayer claimed deductions for car expenses using the log book method.

The ATO found they had recorded kilometres in their log book on days where there was no record of the car travelling on the toll roads, and further enquiries identified that the taxpayer was out of the country.

Their claims were disallowed.

Regards