claim tax deduction for working after 6pm?

[rodimus]

I read somewhere that if you are an employee and you stay back after 6pm to do overtime, then you can get tax deduction?
How does that work?
COs most people do not get Overtime pay, they do it cos its part of their work to finish the project (and to make the boss happy).

Perhaps its like if a person earns $30 an hour, then if he works till 9pm, then he can claim 3 hours x $30 as non taxable income????

[coastymike]

Not sure who you have been speaking to but their are currently no tax allowances for working overtime.

The person may be referring to some employers who pay an overtime meal allowance. Where a taxpayer receives an overtime meal allowance and the expenses claimed by the taxpayer are no more than the reasonable amount for a particular year, as set out in the relevant ruling, the cost of the meals may be deductible without the need for written evidence under section 900-60 of the ITAA 1997.

That is all I can think they may be referring to. Sometimes it is amazing what some people say can be claimed as a tax deduction. I remember someone who read Dale's book once asking me if they could seriously claim sex toys as a tax deduction. If they went into prostitution or the sex industry then sure id have no problem with it. No wonder Prozac is one of the world's best selling drugs.

[geoffw]

I remember someone who read Dale's book once asking me if they could seriously claim sex toys as a tax deduction. What Dale was referring to there was gifts purchased by a trust for a beneficiary could be deductible- as long as the gifts were inexpensive and infrequent. He says there is no hard and fast rule for inexpensive- but he suggests less than $100 per time- or infrequent- but suggests I think once or twice a year. A sex toy could fall into the definition.

[eddievanhalen]

Interesting that you mention that geoff - I know one of Dale's clients mentioned this idea of the trust being able to infrequently purchase gifts for beneficiaries and I couldn't see how. I own Dale's book and (having read it a few times) was under the impression that any gifts should be for employees of the trust and not just random beneficiaries. This makes some sense.

Try as I might I cannot find anywhere in Trust Magic where it mentions that a trust can buy gifts for people whose only claim to fame is being a beneficiary.

Any further thoughts on this??

Ed

[geoffw]

That's not from the book- it's from Dale's talk- rather, my imperfect memory of his talk.

There was something about buying gifts for other people- say, your accountant :D

[rodimus]

The book i read that from is Ray McDonald's book, the title something alond the line of Turning $1 into $1million in 7 years.
He mentioned the tax deduction for working after 6pm in it.

[coastymike]

Rodimus,

You would need to post the quote. Personally I have no idea what the book is talking about. Maybe like most "get rich quick" gurus they are alluding to something else but making it sound better than it is. Like the title. I guess a few people have turned $1 into a million after 7 years but isnt the lowest you can spend on Lotto $1.20. Oh well maybe it was written a while ago.

[JamesGG]

Hi,

The only thing I can think to offer beyond CoastyMike's suggestion is that perhaps the author is based in the US or UK?

So, while not possible here, it could be commonplace there. Along the lines of Kyosaki's CGT roll-over.

Cheers

James.