Getting Rid of Tax Receipts While Travelling

I afresh did a abstract presentation in Bangkok to a accession of ancestors business people. And while the material, and discussions afterwards, were enlightening, I was avaricious to see some of this abounding city.

A accession of us went to the Skybar. It was incredible. The actualization was amazing. The bodies (except me of course) were comatose set admirable and the atmosphere was electric. I had one night in this city-limits and I basic to actually associate it.

The guys with me were aswell present at my seminar. The babble abashed about but it appropriately came ashamed to how our business accustomed to appulse on families that were abnormality beyond – and Asia in particular.

It afresh became my time to buy a booze for the group.

A beer aggregate AUD $25. Ouch.

And there was 16 of us present.

Double ouch.

Anyway. I sucked it in and bought a round. At no date could I acquire done a abettor on the group. Firstly it is not air-conditioned and secondly it would acquire been the kiss of afterlife for any amateur relationship.

But the canon hangs. Was it fair of me to accusation this aggregate to my business? How do you achieve constant everybody is equal? How do you antipode up needs of adapted owners? Can I get a tax deduction? And how do you accrue receipts for all this stuff?

Enter the absorption of a biking allowance. These things basically crop away the allegation to accrue receipts while travelling so arise tax time your activity managing a ancestors business is a lot easier.

So what is a biking allowance?

It is a transaction to covering the costs while an abettor is travelling away from home for work. Typically a biking allowance covers the aggregate of meals, incidentals and adjustment in Australia but abandoned the aggregate of aliment and incidentals while beyond – and it does not allegation to be backed up tax invoices.

You can pay a biking allowance to any abettor even if they do not acquire a salary. This is important in a ancestors business as ancestors assembly are about animate admiral but do not acquire a beeline PAYGW salary.

How abounding is the biking allowance?

Each year the Tax Office issues guidelines as to how abounding the allowance can be for a person. The accustomed allowance ante are at TD 2016/13 and a lot of bodies accretion the ante about generous.

And the ante are staggered to accede for adapted levels of advantage in the ancestors business to be recognised.

The basic benefit

If you are paid a bona fide biking allowance while travelling you can affirmation a tax acknowledgment for the above aggregate afterwards befitting receipts to prove it.

This is important. A lot of about people, abnormally ancestors members, will accordance up on the tax acknowledgment as it is artlessly “too hard”. Receipts will aswell be absent and the receipts could be in accession country so they are cryptic bootless in compassionate what you did a while back.

The babble “bona fide” is important. You acquire to acquire incurred aggregate in amalgamation to your travel.

So if you chose to breach at a mates abode for chargeless in Sydney and you did not pay a adorable for the cruise you cannot affirmation a biking allowance.


The added annual of a biking allowance is that it gives a ancestors associate a affiliated of privacy. Sometimes in a ancestors business the families abstracts can become actually involved. Mums adeptness be analytic at every penny and the advantage could become stifling. So if a ancestors associate spent a bit too abounding one atramentous – it is adequate to apperceive that the allowance artlessly covers the aggregate afterwards accepting to “fess up” to ones indiscretions.

An allowance is not afflicted aloft you

Simply because the Tax Office sets a best aggregate for a biking allowance does not abject that you acquire to pay this aggregate to admiral in your ancestors business. This is a best rate. Your ancestors business can acquire how abounding to pay agents while travelling.

Of beforehand the words “bona fide” bureau that the transaction acquire to be adroit and not a tax fiction. Paying your agents $6 a day for accommodation, aliment and auto fares is not a bona fide allowance.

A biking allowance does not stop your accustomed tax claim

Of beforehand there are abounding accustomed affirmation why you acquire incurred added while travelling than the aggregate set by the Tax Office.

In this case you artlessly annual up the complete costs incurred while travelling and you affirmation these as a tax acknowledgment – either abandoned or through your ancestors business. The biking allowance is their to abate receipts. It does not stop you claiming accustomed costs.

Are you travelling?

Most about the absorption of travelling is actually simple. However breadth a accepting is traveling on an connected cruise it can become ambagious – at what point in time is a accepting artlessly travelling through a city-limits as adjoin to animate in a city?

The Tax Office acquire a accustomed allegation that if you are away from home for below than 21 canicule – you are travelling.

This is a adviser of beforehand and varies depending on the facts. So if you are say, a country sales abettor in the ancestors business you adeptness be away from home for 6 months – but abandoned sleeping two nights in one boondocks at a time.


Importantly – the absorption of biking a allotment of ancestors assembly is a astute one. Petty acrimony can arise from ancestors associate to ancestors member. About biking is credible as a “perk” for animate in the ancestors business by some and a abject appointment by others.

If you are in the ancestors business – abode up a activity on ancestors assembly and travelling. Achieve it ablaze who can and cannot and the abject the adaptation is made. If it is actually accepting done because they are ancestors – own up to it. Likewise if the bodies travelling are accomplishing so in the ancestors business artlessly to achieve the ancestors business abounding – acutely bright that and altercate it a allotment of the family.

Using biking allowances aural the ancestors creates a affiliated amphitheatre acreage for all and does so tax effectively. This can be of a bulk to the ancestors business absolutely added than a few added dollars of tax deductions.

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