Saturday, 17 August 2013

Tax tips, part 10: dividend deductions

You can claim a deduction for the expenses you incurred in earning any dividend and similar investment income you declared at item 11 on your tax return.  Dividend deductions get recorded at item D8 on your return (except for expenses incurred in earning foreign source dividends, which go in item 20 or D15 on your return).

What you can claim

Dividend expenses can include:
  • Management fees and fees for investment advice relating to changes in the mix of your investments
  • Interest charged on money borrowed to purchase shares or similar investments
  • Travel expenses related to the investment
  • The cost of specialist investment journals and subscriptions
  • Borrowing costs related to the investment
  • The cost of internet access for investment purposes
  • The decline in value of your computer related to the investment