ATO Approved: How to Claim Tax Deductions Without Receipts

 Think you can’t claim deductions without a receipt? Think again.

The ATO actually has rules that let you claim certain expenses, even if your dog ate the receipt, your washing machine destroyed it, or you simply forgot to ask for one. 

But there is a right way and a wrong way to do it. Get it wrong, and you could end up in hot water. Get it right, and you’ll walk away with a bigger refund—and peace of mind.

This blog is here to show you how to do it the right way. We will cover everything from the $300 no-receipts limit to tips for documenting small expenses and even claiming fuel costs without a logbook. 

Ready to save some money and stress less? Let’s get started.

What Does the ATO Say About Deductions Without Receipts?

Contrary to popular belief, the Australian Tax Office (ATO) understands that keeping every receipt isn’t always practical. They allow you to claim certain work-related expenses without receipts under specific conditions. 

The following are some of the key rules: 

The $300 Rule

You can claim up to $300 in work-related expenses without needing to provide receipts. These expenses could include items like tools, equipment, or small work-related purchases. While receipts aren’t required, you must be able to explain the nature of the expense and how it relates to your work if audited.

Non-Receipt Based Claims

Some expenses, like laundry costs for uniforms, don’t always require receipts. For example:

• If you wash, dry, or iron your work uniform at home, you can claim $1 per load if it’s only for work clothes or 50 cents per load if mixed with personal clothing.

• Even without receipts, keep notes about the frequency of your washes to back up your claims.

Logbook Alternatives for Vehicle Expenses

While a detailed logbook is often required for claiming car expenses, the ATO allows a cents-per-kilometre method for up to 5,000 kilometres annually. You don’t need a logbook, but you must provide a reasonable estimate, including details like:

• The purpose of the trip.

• The distance travelled.

• The date of travel.

Types of Deductions You Can Claim Without Receipts

Here’s a breakdown of common expenses you might be eligible to claim:

Work-Related Clothing and Laundry

If you wear a uniform or specific protective clothing for work, you can claim laundry costs even without a receipt.

How It Works:

• $1 per load if only work clothes are washed.

• 50 cents per load for mixed personal and work clothes.

What’s required: A log of how often you cleaned your workwear (no receipts needed).

Phone and Internet Usage

If you use your personal phone or internet for work purposes, you can claim a portion of the costs.

How It Works:

Estimate the percentage of work-related use (e.g., 40% of your monthly phone bill).

Use this percentage to calculate your annual deduction.

What’s required: A reasonable estimate or a short diary documenting your work usage over a representative period (e.g., one month).

Home Office Expenses

Working from home? You can claim deductions for electricity, heating, and office supplies. The ATO offers a fixed rate per hour method (67 cents per hour as of FY 2023-24), which doesn’t require receipts but does need records of the hours worked.

Work-Related Tools and Equipment

Small tools or items under $300 can be claimed outright without detailed documentation. For more expensive items, depreciation rules apply, requiring better records.

Travel Expenses

Using your car for work-related travel? You can claim up to 5,000 kilometres per year using the cents-per-kilometre method without a logbook.

How It Works:

Calculate your kilometres travelled for work purposes.

Multiply by the ATO’s cents-per-kilometre rate (e.g., 78 cents per km for FY 2023-24).

What’s required: Keep notes of travel dates, destinations, and purposes to substantiate your claim.

Tips to Maximise Deductions Without Receipts

Even when receipts aren’t necessary, preparation and organisation are key. Follow these tips to ensure a stress-free experience:

Keep a Diary or Digital Record

Use a notebook or digital app to track small expenses. Note what you spent, when, and why. A consistent habit of recording helps if you’re audited later.

Use Bank and Credit Card Statements

If you paid for something via card, a bank statement can act as supporting evidence in the absence of a receipt. Highlight work-related purchases to make them easy to find.

Estimate Smartly

Be conservative when estimating expenses. Overclaiming without evidence could lead to scrutiny and penalties. For instance, don’t claim 5,000 km for work travel unless you actually drove that distance.

Understand the ATO’s Guidelines

Familiarise yourself with the ATO’s rules on deductions. Knowing what’s allowed (and what isn’t) is the best way to avoid errors.

Seek Professional Advice

If in doubt, consult a tax professional. They can help identify additional deductions and ensure your claims comply with ATO rules.

What Happens If You’re Audited?

The ATO doesn’t automatically require receipts for every claim. However, if your deductions are flagged for review, they may ask for further evidence. This is where your notes, logs, or other supporting records come in handy. If you’ve followed the rules and kept basic records, you’ll have nothing to worry about.

Conclusion

Claiming deductions without receipts isn’t a loophole—it’s a legitimate option within the ATO’s guidelines. By understanding the rules, keeping basic records, and being honest about your claims, you can maximise your tax refund while staying on the right side of the law.

Remember, tax time doesn’t have to be stressful. With the tips shared in this blog, you can make the most of your eligible deductions, even if you’re missing a receipt or two. So, get started today, and make this tax season your most rewarding yet!