For some tax agents and taxpayers, Schedule W will be required to be lodged for all work expenses greater than $300. Schedule W may be prepared for claims under $301, but these are not required to be lodged with the ATO.
If Schedule W is lodged, it must be complete and correspond with the related fields (D1 to D5) on the return. Each claim is itemised separately.
The basic schedule provides one claim for each of D1 to D5. Extra claims can be added at the beginning of each type of claim. Details are given with the instructions on how to complete each type, below.
To complete Schedule W, within an Individual return or alternatively, in Accountants Enterprise with a return highlighted in the Select Return Index, select Preparation > Schedule > Work related expenses (w) and press [Enter].
The question "Are you required to, or do you wish to transmit this schedule when applicable?" essentially asks 'Will this schedule be lodged electronically?' The default response is No. Type Y or N or select your answer from the list displayed.
When the agent is subject to the mandatory requirement, the default cannot be changed.
To add extra claims for any type, click [Alt+I] at the beginning of the first claim for Item D1 - D5. A complete set of fields to record the details of the extra claim are added to the schedule prior to the next claim type.
Schedule W Item D1: Work related car expenses
The Motor Vehicle Expenses Worksheet (mve) details integrate to the Individual tax return form and to the ATO Schedule W.
| Field | Detail |
|---|
| Explanation and Justification for Work purposes | Explain why the taxpayer used a car for work purposes. If a claim was made using the cents per kilometre method, explain how the kilometres are estimated. |
| Make and Model | Enter the make and model of the car related to the claim. A separate entry is required for each car claimed. To add extra claims click [Alt+I]. (Extra D1 claims are added to the schedule before the first D2 claim). |
| Method of claim | - B - Logbook
- S - Cents per kilometre
- U - Use system default
|
| Cents per Kilometre Method | If the method used is cents per kilometre: the rate will be 66 cents for each business km travelled, up to a maximum of 5,000 kms. This rate will be reviewed each year by the Commissioner having regard for the operating costs of motor vehicles. |
| Log Book Method | If the method used is log book record: |
| Standard Evidence/Calculation | Select up to four codes from the Standard evidence or calculation information which best describe how the claim has been estimated. If the information code is O - Other evidence or T - Other calculation, you'll need to provide reasons to support the claim. |
Schedule W Item D2: Work related travel expenses
| Field | Detail |
|---|
| Explanation and Justification for Work purposes | Explain how these expenses relate to the taxpayer's work, including a description of the travel and purpose. To add extra lines, click [Alt+I]. |
| Category of Expenses Claimed | Select a code from the list which best describes the claim. To add extra claims click [Alt+I]. Extra D2 claims are added to the schedule before the first D3 claim. |
| Details of 'Other' Category | If the category Other is selected provide a description of the expense. |
| Amount Claimed | Enter the amount being claimed for each expense type. |
Standard Evidence/Calculation | Select up to four codes from the Standard evidence or calculation information list which best describe how the claim has been estimated. If the information code is O - Other evidence or T - Other calculation, you'll need to provide reasons to support the claim. |
Schedule W Item D3: Protective or Occupation specific clothing, Laundry and dry cleaning expenses
| Field | Detail |
|---|
| Explanation and Justification for Work purposes | Explain how these expenses relate to the taxpayer's work, including a description of the travel and purpose. To add extra lines, click [Alt+I]. |
| Select a Claim code for the income tax return from the list. | Select a code from the list which best describes the claim. To add extra claims click [Alt+I]. Extra D3 claims are added to the schedule before the first D4 claim. |
| Category of Expenses claimed | Select a code which best describes the nature of the expense. To add extra claims press [Alt+I]. Extra claims are added to the schedule at Item D3 before the first claim at Item D4 is added. |
| Details of 'Other' Category | If the category Other is selected a description of the expense must be provided. |
| Amount Claimed | Enter the amount being claimed for each expense type. |
Standard Evidence/Calculation | Select up to four codes from the Standard evidence or calculation information list which best describe how the claim has been estimated. If the information code is O - Other evidence or T - Other calculation, you'll need to provide reasons to support the claim. |
Schedule W Item D4: Self-education expenses
| Field | Detail |
|---|
| Explanation and Justification for Work purposes | Explain how these expenses related to current work activities. If an estimate has been used for apportioning an expense that related to self-education, such as computer expenses, explain how the amount was calculated. |
| Claim Code for Main Return | Select a code from the list which best describes the connection of the course undertaken by the taxpayer with the taxpayer's current work activities. The connection may be: - I - Based on improved income potential in current work.
There is a direct connection between the self-education and the taxpayer's current work activities because the study maintains or improves a skill or specific knowledge required for their current work activities. - K - Directly related to skills required for current work activities.
There is a direct connection between the self-education and the taxpayer's current work activities because they can show that the study leads to, or is likely to lead to, increased income from their current work activities. - O - Some Other direct relationship between study and current work activities.
Other circumstances where there is a direct connection between the taxpayer's self-education and their current work activities.
|
| Course Details | Enter text to identify the course undertaken by the taxpayer |
Name of Institution | Enter text to identify the institution at which the taxpayer enrolled. |
| Category of Expenses claimed | Select a code from the list which best describes the expense. To add extra claims click [Alt+I]. Extra claims are added to the schedule at Item D4 before the first claim at Item D5. |
| Details of 'Other' Category | If the category Other is selected, you'll need to provide a description of the expense. |
| Gross Amount/Depreciation | The amount of the depreciation deduction (for example, a computer) is integrated from a Depreciation Worksheet. If the taxpayer is a small business, the depreciation deduction will be disclosed at Item P8 (refer to the ATO Guide to Depreciation for the current income year). To complete the Depreciation Worksheet: Click New and enter all relevant information under the Details. Click the Integration tab and at the To Form\Schedule field select Schedule W (ATO work expenses). At the Schedule Item field select Self-education then click OK to save the entry.
You can then close the Depreciation Worksheet. If the taxpayer is not a small business or using the LVP, the calculated depreciation value will integrate to the Gross Amount/Depreciation. |
| Details recorded |
|---|
Amount Claimed | Enter the total non-depreciation expenses in the Amount Claimed field. |
Section 82A reduction | Enter an amount for the section 82A reduction, which can be from nil to $250. |
| Standard Evidence or Calculation Code | There are four codes to choose from. The preparer would normally only select one but might find that two codes apply. If this is the case both codes may be selected. If the information code is O - Other evidence or T - Other calculation, you'll need to provide reasons to support the claim. |
Schedule W Item D5: Other work expenses
| Field | Detail |
|---|
| Explanation and Justification for Work purposes | Provide an explanation of how these other expenses are related to the taxpayer's work.
An explanation is not required for claims for Financial Institutions Duty, Government duty taxes, union fees and overtime meal allowances.
|
| Category of Expenses claimed | Select a code which best describes the nature of the expense. To add extra claims press [Alt+I]. Extra claims are added to the schedule at Item D4 before the first claim at Item D5 is added. |
| Details of 'Other' Category | If the category Other is selected you will need to provide a description of the expense. |
| Business % claimed | Enter the percentage of the claim which is work related. |
| Gross Amount/Depreciation | The amount of the depreciation deduction (for example, a computer) is integrated from a Depreciation Worksheet. If the taxpayer is a small business, the depreciation deduction will be disclosed at Item P8 (refer to the ATO Guide to Depreciation for the current income year). To complete the Depreciation Worksheet: Click New and enter all relevant information under the Details. Click the Integration tab and at the To Form\Schedule field select Schedule W (ATO work expenses). At the Schedule Item field select Self-education then click OK to save the entry.
You can then close the Depreciation Worksheet. If the taxpayer is not a small business or using the LVP, the calculated depreciation value will integrate to the Gross Amount/Depreciation. |
| Details recorded |
|---|
| Amount Claimed | Enter the total non-depreciation expenses in the Amount Claimed field. |
| Standard Evidence or Calculation Code | There are four codes to choose from. The preparer would normally only select one but might find that two codes apply. If this is the case both codes may be selected. If the information code is O - Other evidence or T - Other calculation, you'll need to provide reasons to support the claim. |
