The ATO has introduced a new Deductions schedule (DDCTNS) to lodge with a 2019 individual tax return.
This allows you to provide more information on deductions being claimed by your clients. See Claiming deductions on the ATO website.
When do you need a DDCTNS?
If you're claiming a deduction at any of the individual return labels ticked below, you'll need to complete a DDCTNS.
D1 Work-related car deductions
D9 Gifts or donations
|D2 Work-related travel expenses||D10 Cost of managing tax affairs|
|D3 Work-related clothing, laundry and dry-cleaning expenses||D11 - Deductible amount of undeducted purchase price of a foreign pension or annuity|
|D4 Work-related self-education expenses||D12 Personal superannuation contributions|
|D5 Other work-related expenses||D13 Deduction for project pool|
|D6 Low-value pool deduction||D14 Forestry-managed investment scheme deduction|
|D7 Interest deductions||D15 Other deductions|
D8 Dividend deductions
How to use the new DDCTNS
You can no longer enter data directly into the deduction labels D1–D15, (apart from label D11). Instead, you'll enter data either directly into the new DDCTNS or, in a supporting worksheet, which is then transferred to the DDCTNS.
There are three ways to access the new DDCTNS from within a 2017 Individual tax return:
- From the Preparation menu:
- Follow the menu Preparation > Schedule.
- Double-click Deductions schedule (DDCTNS) to open.
- From the ATO Schedules list:
- Click Deductions schedule (DDCTNS) under ATO Schedules on the Navigation bar.
- From the deduction item:
- Click the Deductions & Losses tab
- Click the field in Item D2, D3, D7, D8 or D15E and press ENTER.
You can no longer enter data directly into the deduction labels D1–D15, (apart from label D11). The DDCTNS opens if there is no supporting worksheet at the deduction labels.
The table below shows:
- the differences between the schedules and worksheets available in the 2018 and 2019 tax years
- the maximum number of entries per item.
|Deduction item||2018 Schedule or worksheet||2019 Schedule or worksheet||2019 ATO pre-fill||Maximum entries|
|Motor vehicle expenses (mve)||Motor vehicle expenses (mve)||10|
|Item D2 - Work-related travel expenses||Work-related travel expenses grid||Deductions schedule (DDCTNS)||20|
|Item D3 - Work-related clothing, laundry and dry-cleaning expenses||Generic schedule||Deductions schedule (DDCTNS)||20|
|Item D4 - Work-related self-education expenses||Work-related self-education expenses worksheet (sed)||Work-related self-education expenses worksheet (sed)||20|
|Item D5 - Other work related expenses||Other work-related expenses grid||Other work-related expense (pwe)||50|
|Item D6 - Low value pool deduction||Depreciation worksheet|
Item D6 – Label K
|Deductions schedule (DDCTNS)|
Depreciation worksheet (d)
|Interest deductions (idd)||Deductions schedule (DDCTNS)||20|
|Item D8 - Dividend deductions||Dividend deductions (ddd)||Deductions schedule (DDCTNS)||20|
|Item D9 - Gifts or donations||Gifts or donations (pgd)||Gifts or donations (pgd)||20|
|Item D10 - Cost of managing tax affairs||Cost of managing tax affairs (cmt)||Cost of managing tax affairs (cmt)||20|
|Item D12 - Personal Superannuation Contributions||Personal superannuation contributions (psc)||Personal superannuation contributions (psc)||25|
|Depreciation worksheet||Depreciation worksheet||20|
|Forestry managed investment scheme worksheet (fms)||Forestry managed investment scheme worksheet (fms)||20|
|Item D15 - Other Deductions|
At D1, MYOB Tax consolidates records if you have more than 10 motor vehicle expense (mve) worksheets. Motor vehicles using the cents per km method integrate to the DDCTNS first, in descending km order, followed by the logbook method. This ensures the consolidated record doesn't breach the 5000km limit.
In the DDCTNS, you'll only see one data-entry row for each item. The ATO recommends that you group your expenses. For example, rather than listing individual stationery items (such as pen, pencil, stapler), just report the total stationery expense.
However, you can still add additional rows as required:
- To add additional rows, click in the relevant field then click on the toolbar, or press CTRL+INSERT.
- To delete rows you no longer need, click in the relevant row then click on the toolbar, or press CTRL+DELETE.
Where you exceed the maximum limit of records at D1 to D15, consolidate the remaining records with the description Consolidated remaining amounts. Refer to the specific item help topic for more details.
To help you in your calculations, we've updated a bunch of the supporting worksheets to integrate into the DDCTNS.
These worksheets are not lodged to the ATO, but will instead integrate into the DDCTNS.
You might notice that data entry fields for these items are unavailable in the DDCTNS. This is because the value in this field comes from a supporting worksheet.
To enter the data, click in the field and press Enter on the keyboard to open the worksheet. Fill in the worksheet as per normal.
To transfer the values from the worksheet into the DDCTNS, clickon the toolbar or press F6 on the keyboard. The total integrates to the relevant item in the DDCTNS.
|Deduction item||2019 Schedule or worksheet||Maximum entries in DDCTNS|
|Motor vehicle expenses (mve)||10|
|Item D9 - Gifts or donations||Gifts or donations (pgd)||20|
|Item D4 - Work-related self-education expenses||Work-related self-education expenses worksheet (sed)||20|
|Item D5 - Other work related expenses||Other work-related expense (pwe)||50|
|Item D10 - Cost of managing tax affairs||Cost of managing tax affairs (cmt)||20|
|Item D12 - Personal Superannuation Contributions||Personal superannuation contributions (psc)||25|
|Forestry managed investment scheme worksheet (fms)||20|
|Item D15 - Other Deductions|
By introducing the new DDCTNS, we've changed or replaced some worksheets and grids. As a result, only the following worksheets will rollover to 2019:
- Depreciation worksheet (d)
- Motor vehicle worksheet (mve)
- Personal superannuation contributions worksheet (psc)
You'll need to create all other deductions worksheets for 2019.
The ATO PDF version of the DDCTNS is not available and therefore not included in the ATO-PDF copy print. For paper lodgments, print amounts at deduction items and action codes at D1, D3 and D4 in the main income tax return.