Question on claiming expenses for reno's

[Mrman]

Just a question regarding doing some reno's and claiming expenses on tax.

I'll be doing some reno's to my IP in the next few weeks and a family friend has offered to help with painting, tiling, plumbing etc. The problem is he is not qualified. Just a really good home handyman. If I pay him for the work he does, can I claim that back on tax?

Will he have to give me a receipt and does it matter if he doesn't have an ABN?

George

 

[MattR]

Well, the ABN requirement is generally business to business, but when you start to involve tradespeople, you need to careful to that you are not in fact creating an employer/employee relationship.

Refer for ABN

http://calculators.ato.gov.au/scripts/axos/axos.asp?CONTEXT=&KBS=ABN_Entitlement.xr4&go=ok