Tax question...

[ContactMeNow]

Its coming around to tax time again and Im not 100% sure on how to "claim" for flying expenses.

I work for a parachute company, but for me to have been offered the job I needed 10 hours on type (C182) insurance and APF op regs, so i went out and hired a C210 and flew 10 hours on that.

Now being EMPLOYED (thats right im getting paid) by this company, is it possible for me to claim these C210 hours on tax?

My position was that I paid for the aircraft hire and then got the job. So is it possible to claim this or would it be easier to claim if say i was "employed" by the company before I got the hours on type?

Awaiting your replies...

CMN :ok:

[VH-GRUMPY]

Go talk to an accountant - but I would think yes and also you can claim your flying mags; flying gear; your sunnies etc.

[404 Titan]

ContactMeNow

Unfortunately it isn’t claimable because as you have admitted you were not yet employed by the company when you did those hours in the C210. This is because it is considered by the ATO you have done those hours in the hope of gaining employment and/or increasing your earning potential.

Lastly I would be very careful claiming something you can’t verify you are legally entitled to. If you are audited, and don’t think it can’t happen, they will pick it up and they won’t look on it favourably.

Finally go and see a good accountant. I'm sure though they will tell you the same thing I have though.

[Pass-A-Frozo]

404 is spot on..

[apache]

When you did the C210 hours, were you already employed elsewhere ?
I think that if you ARE employed, although NOT with the operator who requires the time on type, then you are making yourself MORE employable, hence tax deductable.

other deductions include: laundry, union expenses, nav b ag, jepp charts, sunnies, sunscreen, moisturiser, watch (aka NDB timer), calculator, computer, logbook, internet access, phones (home and mobile), grooming expenses, medical and casa charges etc etc.

[ContactMeNow]

When you did the C210 hours, were you already employed elsewhere ?
I think that if you ARE employed, although NOT with the operator who requires the time on type, then you are making yourself MORE employable, hence tax deductable.

other deductions include: laundry, union expenses, nav b ag, jepp charts, sunnies, sunscreen, moisturiser, watch (aka NDB timer), calculator, computer, logbook, internet access, phones (home and mobile), grooming expenses, medical and casa charges etc etc.

Thanks apache and guys,

I gave the ATO a quick phone call and it is all sorted out :ok:.

I dont think I will be paying any tax this year with all that there is to claim RE: CASA charges :{ .

CMN :ok:

[Tankengine]

What makes you think 10 hours on a 210 = 182?????
If the regs say 10 hours on TYPE then you need to do 182 time surely?:ugh:
If the 10 hours was just a company thing then OK.:ok:
Good luck with you paying job, good start!:ok:

[TurboOtter]

Tank,
10 hours on type does not have to be on 182, it has to be on a single engine aicraft with CSU, full stop.
If the company said they wanted a little experience on a Cessna then that's their call.

Don't belive me, show me where on your licence it says C152 or C185 etc....


As for Tax, I belive write everything off!! Don't pay Income tax, you pay taxes in so many other areas I don't believe your income tax will make a lickers difference to Aus's economy!:D

[Captain Fun]

Finally go and see a good accountant
Something all good parachute pilots can afford hey CMN :E

[ContactMeNow]

What makes you think 10 hours on a 210 = 182?????
If the regs say 10 hours on TYPE then you need to do 182 time surely?:ugh:
If the 10 hours was just a company thing then OK.:ok:
Good luck with you paying job, good start!:ok:

I contacted the APF and they said that the 10 hours can be done on a C182 or better (205, 206, 210, 185, 180 and even a C172RG)

The reason for doing it on a C210, well it was only an extra $40/hr A/S, plus its better getting 200 series time (with that big donk and all...)

It wasnt a company thing it was the Paracute Federation Regs (however for insurance reason i needed to hours on type or "better" as well)

Something all good parachute pilots can afford hey CMN

Dont you mean all good GA PILOTS :E, even then I doubt that there are many "good" aviation accountants, as i called my companies one and they had "no idea, sorry", so I called the ATO and they sorted it all out (needed to be previously employed by the company to claim) :{

Anyway being a poor pilot, I dont think I will be paying too much tax (if any this year), all I need to do is dig up all those reciepts from the amendments...

CMN :ok:

[almostthere!]

What about Loss of Licence Insurance??? My research has indicated that it is not an allowed deduction. Anyone got ideas?

[404 Titan]

almostthere!

One of the questions one must ask to see if an expense is an allowable deduction: “is it required in the production of assessable income”? Somehow I don’t think Loss of License Insurance would fall into this category.

[EPIRB]

If you receive a lump sum payment for Loss of Licence,then it is not tax deductable, however, if you are to pay tax on it, such as for income protection insurance, then it is claimable.
I am not an accountant and therefore this is not advice from me. Best to check it out with an accountant but my accountant works on the above as I have both.

[complane]

What if you were "given" your job first and then as you were "employed" you thought, "I might go out and get some 210 time".

Surely that could be deductable could it not????

[ContactMeNow]

What if you were "given" your job first and then as you were "employed" you thought, "I might go out and get some 210 time".

Surely that could be deductable could it not????

Thats what the ATO said to me, I had to be employed by the company BEFORE I did the flying.

The bloke from the ATI said it was a very "touch and go" subject (no pun intended, unintentional his his behalf).

He said worse case you claim it, get caught and have to pay it back, its a very grey area in the tax laws, as its not really specific to any industry (more so the aviation industry).

What makes matters worse is that any "mediocre" tax accountant cannot give a straight yes or no answer :ugh:

CMN :ok:

[carro]

Hey CMN

If you get caught, you not only have to pay the money back but additional penalties!! (usually a percentage of the amount owed)

You just have to remember that when you pay more tax it means you earn more:D (unless you aren't claiming your deductions):sad:

Carro


p.s. does anyone else think that the ammendments are a rort - i think its $170 for CAR 12mths ammendments, and a lot of the time it's only changing spelling (eg 'An' to 'And') because they stuffed it up in the first place! Hence why i only renewed AIP and CAOs this year.

Also how hard is it to find some casual weekend skydiving work?

[VH-ABC]

You're 20 years old and wasting money on stuff like CAO's, AIP's?

Mate, save the cash for beer, and read the regs to your hearts' content for free on the CASA website.

[chief wiggum]

Mate, save the cash for beer, and read the regs to your hearts' content for free on the CASA website.

and reading said regs after consuming said beer, makes the regs so much easier to read!

[3 Holer]

Have a look HERE (http://www.ato.gov.au/individuals/content.asp?doc=/content/66192.htm) !

[ContactMeNow]

Have a look HERE (http://www.ato.gov.au/individuals/content.asp?doc=/content/66192.htm) !

Ahh yes, "airline employee's".

If only GA had the pay packets the airline boys get. The ATO raised this issue with me, for me only to tell them that the airlines and GA are two different things.... (apples and oranges really)

How many GA busy pilots out in the "sticks" maintain their skin with moisturising creams? :hmm:

CMN :ok:

[3 Holer]

ContactMeNow, as I understand it, there should be no differentiation between General Aviation pilot and Airline pilot. The deductions are applicable to both. I believe the heading "Airline Employees", used by the ATO, is to simplify the inclusion of ground engineers, flight engineers and flight attendents.

Skin moisteriser would have been a legitimate deduction in my days in GA (flying to all those exotic bush strips) and I would have claimed it ! Not sure I would have let any of my Mates see me applying it though :\

Claim the maximum $300 and if you can substantiate more, GO FOR IT.

[chuck_norris]

Anybody out there know a good accountant (for aviation) in adelaide? Pm me.

[Peter Fanelli]

Anybody out there know a good accountant (for aviation) in adelaide? Pm me.

Unfortunately the one I used in Adelaide has retired, but I can tell you he was the best investment I ever made during my flying career.