With the end of the Australian financial year rapidly approaching, we thought we’d sit back and take a look at some of the quirkiest tax deductions people have tried to claim for in the past.
- Tax Deductible Arsonist..?
A particularly bright individual in the US (of course) not only wanted to claim his insurance proceeds from arranging to have his business burnt to the ground, but even went as far as to claim the $10,000 he’d paid the arsonist.
- Wedding Bells
We all know that a wedding can be a particularly expensive occasion, and this particular individual thought he’d found the solution to fix this. By inviting some of his clients, this father of the bride decided that he’d claim the whole event as a tax deductible client entertainment expense. Sadly for him, the IRS didn’t agree.
- Gifts to Your Children
Sadly, lending your children money that disappears into a failed business idea isn’t tax deductible either. This one is a common occurrence where parents are trying to claim the money they’ve lent their children without any loan or other supporting documentation. Sadly, this can only be treated as a lesson to stop giving them funds if you’re not prepared to treat it as a gift.
- Breast Enhancements a Business Expense
A stripper in the US decided to claim the business expense of enhancing her breasts to the size of 56F, with the expectation that this would lead to greater revenue. Fortunately for her the tax office agreed and the deduction was allowed.
- Garden Gnomes
Did you know that by adding garden gnomes to your investment property garden could be considered a tax deduction? This one has been claimed for and was successful – perhaps it’s time to add some gnomes to your property.
- Ceremonial Sword Swallowing
Are you looking to take up a career as a professional sword swallower? In this particular case, the individual decided to claim, successfully, the cost of his ceremonial sword as it was essential to his act and his income.
- Guard Dogs
Do you have a Guard Dog for your office or small business premises? Have you considered claiming its vet bills and food expenses? For many business owners, this could be a legitimate claim and could be well worth looking into.
While these claims might sound quirky and ridiculous to most, it’s important to seek professional advice and ensure that you’re not missing out on any deductions that you might be eligible for.
To Your Financial Success!
Jarrad Brown is an Australian-trained and qualified Independent Fee-Based Financial Adviser with Australian Expatriate Group of Global Financial Consultants Pte Ltd providing specialist financial advice and portfolio management services to international and local professionals in Singapore.
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Jarrad Brown is an Authorised Representative of Global Financial Consultants Pte Ltd – No: 200305462G | MAS License No: FA100035-3
*Please note that Jarrad Brown is not a tax agent or accountant and none of the content outlined here should be taken as personal advice. You should consult your tax agent and financial adviser to review your current personal finances and financial goals to consider whether this strategy is appropriate for you.