Announcements
We're doing scheduled maintenance on ATO Community to bring you a bigger, better and brighter online community.
You may see us go into read-only mode every now and then while we do this. Don't worry! You'll still be able to search the site to find your answers

ATO Community

Definition of dedicated workspace, house would have been empty during day if not for COVID.

Newbie

Views 816

Replies 5

Hello, 

 

I have a question about dedicated workspace. 

 

The assumption seems to be, that if you do not have a dedicated workspace, then the increase to household running cost is minimal as the utilities (etc) would be in use already. 

 

The house would be empty if we were both at the office, there would be no use of phone, heater, lighting, internet etc.  During winter we needed to keep the whole (small) house heated, when normally we'd be at the office. 

 

So I'm assuming we can claim dedicated workspace, as the only people using the house are working. 

 

Is there any further info on this?

 

Thankyou

 

Liz

1 ACCEPTED SOLUTION

Accepted Solutions

Most helpful response

ATO Community Support

Replies 4

HI @elizabetha,

 

A dedicated workspace means you have a specific area set up for working, such as a home office. Not having this only excludes you from the fixed rate method of working out your deduction. You can still use the shortcut method (specifically set up for those of us working from home due to COVID) or the actual cost method.

5 REPLIES 5

Most helpful response

ATO Community Support

Replies 4

HI @elizabetha,

 

A dedicated workspace means you have a specific area set up for working, such as a home office. Not having this only excludes you from the fixed rate method of working out your deduction. You can still use the shortcut method (specifically set up for those of us working from home due to COVID) or the actual cost method.

Newbie

Replies 3

Thanks Steph, 

 

So a home office is area at home that I am set up to do office work, thats not being used by other members of the household at that time for anything other than work?

 

It sounds like the Actual Cost method will suit. 

 

Thanks,

 

Liz

 

 

 

Taxicorn

Replies 2

@elizabetha 

 

Be very careful.

 

The shortcut method will not allow you to claim any other expenses like mobile, internet, stationery, laptop, equipment, etc.

 

The definition of a dedicated workspace can be a living room if no other family members are using it at the time.

It doesn't have to be a room set up as an office.

 

 

 

Newbie

Replies 1

Thanks @macfanboy 

 

The definition is useful, that's the bit I'm struggling to find information on. It seemed unfairly weighted towards people that can afford large houses with a spare room for an office. 

 

I'll do some calculations on all three and see what is most appropriate. 

Taxicorn

Replies 0

@elizabetha 

 

I generally find 95% of clients get a better result with claiming the 52 cents per hour.

But you can do both:

 

52 cents per hour + other stuff 1/7/19 to 29/2/2020

80 cents per hour + nothing else 1/3/2020 to 30/6/2020