Tax

Tax deductions for hospitality workers in 2026: what you can claim

Whether you're behind the pass, the bar or the coffee machine, hospitality comes with real out-of-pocket costs: the knives, the non-slip shoes, the uniform you wash after every shift. A fair bit of it is deductible, and a fair bit goes unclaimed. What counts is whatever belonged to the shift, and what does not is whatever belonged to your own time.

The test behind every claim

Before any expense counts, it has to clear three tests. You paid for it out of your own pocket and the venue didn't reimburse you, it ties directly to earning your wage, and you kept a record. Fail one and the deduction is gone, no matter how much it feels like part of the job. When something does double duty, like the phone you check the roster on and also text your friends from, you claim only the work share, not the whole bill.

Tools and uniforms

The gear you buy for the job is deductible. For a chef that often means knives and a kit: anything costing $300 or less comes off in full in the year you buy it, and a good knife or set over $300 is claimed gradually as it declines in value. Uniforms count too. A compulsory or logo uniform, chef's whites, aprons and non-slip shoes are all deductible, along with the cost of laundering them. Ordinary clothing is not, even if you only wear it to work.

The deductions that get missed

The smaller, everyday costs are the ones that slip through, and across a year of shifts they add up:

What you can't claim

A handful of costs feel like part of the shift, but the ATO won't wear them:

Lose the docket, lose the claim

On a busy floor, receipts are the first thing to vanish: the docket for a new knife shoved in an apron pocket, the RSA renewal you paid online at midnight, the eftpos slip for a fresh pair of non-slip shoes. The ATO wants written evidence for each expense, plus a note of how you worked out any work-use share on things like your phone. The trick is catching each cost the moment it lands, rather than raking through a year of crumpled dockets the night before you lodge, which is exactly when real deductions go missing. The ATO's free myDeductions app will hold the basics. PFO+ Tax is built for the way a hospitality year actually runs: snap the knife receipt or the RSA renewal on the spot, it files each one against the right category and keeps it fully encrypted on Australian servers, then hands you an accountant-ready pack at tax time. It is yours to keep, encrypted here in Australia, and handed to no one.

The bottom line

Hospitality is generous on deductions, but only for what you paid for yourself, used to earn your wage, and can prove. Claim the knives and kit, the whites and non-slip shoes, the RSA or Food Safety renewals and the barista or cookery course that builds on what you already do. Leave out the commute home after close, your everyday clothes and the first ticket that got you in the door. One thing to get right on the income side too: your tips are income you have to declare, cash ones included, even when they never touch your payslip. Sort those two lists, keep the dockets, declare the tips, and you'll pay tax on what you genuinely owe and not a cent more.

Add up your deductions

See what a year of knives, whites, non-slip shoes and certificate renewals is worth against your income and tax.

Deductions calculator →

Related: work-from-home & work-related deductions · income tax calculator. General information only, not tax advice. Check the ATO or a registered tax agent for your situation.

Common questions

Can chefs claim their knives and tools?

Yes. A knife or tool costing $300 or less is claimed in full the year you buy it; over $300 it is claimed as decline in value. Claim the work-related share.

Are chef whites and black clothing deductible?

Occupation-specific chef whites and checked pants, and a compulsory logo uniform, are deductible along with laundering them. The plain black clothing a venue requires is conventional and is not.

Can I claim my RSA and training?

Renewing a certificate you need for your current role is deductible. The initial RSA you obtained to get a job is not.

Are tips taxed, and can I claim travel?

Tips are assessable income you declare. Travel between venues on the same day is deductible, the commute is not, and overtime meals only count where an award allowance is paid.

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