The Australian Taxation Office (ATO) has officially raised the hourly rate used under the fixed rate method for claiming working-from-home tax deductions, increasing it from 67 cents to 70 cents per hour, effective July 1, 2024. <\/p>\n\n\n\n
This change applies to the upcoming 2024\u201325 income year and reflects updated household expense data used to calculate work-related claims. <\/p>\n\n\n\n
According to Yahoo Finance<\/a><\/em>, the ATO confirmed that the updated rate is based on recent cost analysis but does not modify the types of expenses covered. The revision could lead to slightly larger tax returns for millions of Australians working remotely throughout the year.<\/p>\n\n\n\n Australians working from home can now claim 70 cents per hour as a flat-rate deduction on their 2024\u201325 tax return<\/a>. The new rate applies to all hours worked from home throughout the income year and represents a modest increase over the previous rate of 67 cents.<\/p>\n\n\n\n For example, someone working 38 hours a week<\/strong> from home could now claim $1,383.20<\/strong> annually, up from $1,323.92<\/strong>, resulting in a $59 increase<\/strong>.<\/p>\n\n\n\n “The rate has been updated based on Australian Bureau of Statistics<\/em> data for relevant expenses included in the rate,” an ATO<\/em> spokesperson told Yahoo Finance<\/em>.<\/p>\n<\/blockquote>\n\n\n\n “The update to the rate does not alter the expenses included under the method or eligibility criteria.”<\/p>\n<\/blockquote>\n\n\n\nRevised Rate Reflects Increased Household Expenses<\/h2>\n\n\n\n
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Simplified Method Targets Common Household Costs<\/h2>\n\n\n\n