Workers’ salaries, wages and super contributions

You can generally claim a tax deduction for the salaries and wages you pay to employees, and super contributions you make on time to a complying super fund or retirement savings account (RSA) for your employees and for certain contractors.

If you hire workers (employees or contractors), you can only claim deductions for payments you’ve made to your workers if you have met the required PAYG withholding and reporting obligations for those payments. The deductions you can claim for paying yourself salary and wages depend on the type of business you operate. There are different rules for sole traders, partnerships, companies and trusts.

You may be able to claim a deduction (in your personal tax return) for your personal super contributions. You may also be eligible for government super contributions such as the super co-contribution or low-income super tax offset.

Claiming small business tax deductions

Steps Progress

What are deductions and what can I claim?

5 mins

Accounting for private use of assets

9 mins

Expenses you can never deduct

1 mins

Expenses you can deduct over time

10 mins

Stock and asset records

5 mins

Expenses you can deduct immediately

5 mins

Other deductions records

1 mins

Motor vehicle deductions

4 mins

Motor vehicle deductions records

2 mins

Related courses

1 mins

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