Great news! As a Pet Professional earning income through PetCloud, you are generally operating as a sole trader for tax purposes in Australia. This means you can claim deductions for expenses incurred in earning your assessable income, provided they are not private, domestic, or capital in nature (per Income Tax Assessment Act 1997 (ITAA 1997), s 8-1). Below is a comprehensive breakdown of deductible expenses that would commonly apply, including links to authoritative sources where applicable.
Claimable? Yes!
Why? These are incurred to access job listings and increase work opportunities, making them a cost of doing business.
ATO Position: Deductible as a work-related tool or business platform fee.
Relevant Law: ITAA 1997, s 8-1
Example: Monthly fees paid to PetCloud for premium job access are directly related to your income-earning activities.
Claimable? Yes!
Why? Commissions taken from your earnings are considered a direct cost of generating your assessable income.
ATO Position: Deductible as a cost of earning income.
Reference: ATO – Commissions and fees
Claimable? Yes!
Why? Required to perform your duties and comply with platform policies.
ATO Position: Deductible where a police check is a condition of your current employment or business activity.
Caution: Initial checks may not be deductible if done before starting the business. Ongoing renewals are more clearly deductible.
Claimable? Yes, if the training relates directly to improving your skills in your current business.
ATO Position: You can claim self-education expenses if they relate directly to your current income-earning activities.
Reference: ATO – Self-education expenses
Claimable? Yes!
Why? Required for operating your pet care business and protecting against liability.
Yes! PetCloud Listing hosting, flyers, local ads, social media promotion.
ATO Position: Deductible as per general business advertising.
Reference: ATO – Advertising expenses
Claimable? Partially
Why? If you use your mobile phone or internet to communicate with clients or manage bookings.
Method: Must apportion personal vs business use (diary method or usage logs).
Reference: ATO – Phone and internet expenses
Claimable? Yes, if used for business purposes (e.g. pet pick-ups, meet & greets).
Methods:
Cents per kilometre method (up to 5,000 km), or
Logbook method for actual expenses.
Reference: ATO – Motor vehicle expenses
Dog leads, poop bags, water bowls, treats (for client pets).
Claimable? Yes, if used in the course of providing services.
Important: Cannot claim for items used for your own pets. Note: All Pet Owners are required to provide all equipment, however, some clients accidentally forget sufficient poop bags and you would supply.
Not usually claimable unless it is:
Protective clothing hat, non-slip shoes
Embroidered uniforms with your business name/logo
If pets are cared for at your home:
Portion of electricity, cleaning, water
Depreciation on furniture or equipment
Must apportion based on floor area used and time.
Reference: ATO – Home-based business
Personal pet costs
Grooming your own pets
Meals for yourself during pet sitting
Clothes that are not protective or logo-embroidered
Costs incurred before your business began (unless they are start-up expenses treated as capital)
For even MORE items you may be able to claim, read this article: https://www.petcloud.com.au/d/blog/pet-sitter-tax-deductions/