Tax Deductions for Hairdressers and Beauty Professionals
If you're working as a hairdressers and beauty professionals, there are 27 categories of work-related expenses you may be able to claim. Below you'll find every deduction the ATO lists for your occupation — in plain English.
This guide covers 27 deduction categories with 238+ specific items, plus income types and record-keeping requirements — all sourced from the ATO.
Deduction Categories
27
Specific Items
238
Income Types
0
Work-Related Deductions (27)
Amounts you do and don't include
- salary and wages, including cash or bonus payments
- compensation and insurance payments – for example, payments made under an income protection insurance policy to replace salary and wages.
- You must include all the income you receive during the income year as a hairdresser or beauty professional in your tax return, this includes:
- Don't include as income any reimbursements you receive.
- Your income statement or a payment summary will show all your salary, wages and allowances for the income year.
Example: bonuses
- Kerrie is an employee hairdresser. Every quarter, Kerrie's salon provides a bonus of $500 to the best performing hairdresser. They base their decision on customer feedback and the dollar value of products the hairdressers sell and the services they provide during the quarter.
- For the quarter ending June 2024, Kerrie is awarded the bonus of $500. Kerrie's employer shows the amount separately on her income statement.
- When Kerrie lodges her income tax return for the 2023–24 income year, she must include the bonus of $500 at Allowances, earnings, tips, directors' fees etc in her income tax return.
Allowances
- to help you pay for a work expense – for example, tools and equipment
- as compensation for an aspect of your work such as working conditions or industry peculiarities – for example, working a public holiday
- as an amount for having special duties, skills or qualifications – for example, first aid qualifications.
Allowances not on your income statement or payment summary
- don't include it as income in your tax return
- can't claim any deductions for the work expenses the allowance covers.
- include the allowance as income in your tax return
- include a claim for the work expenses you incur in your tax return
- must have records of your expenses.
Allowances and claiming a deduction
- The following table sets out allowances you may receive and when you can claim a deduction.
- Example of allowance type
- Deduction (Yes or No)
- Compensation for an aspect of your work that is unpleasant, special or dangerous or for industry peculiarities
- These allowances don't help you pay for deductible work-related expenses
- An amount for certain expenses
- Overtime meal allowance
- If you incur deductible expenses
- An amount for special skills
- A first aid certificate
- Mario works in a beauty salon. Mario is also the manager of the salon. Mario's employer pays him an allowance $70 per week to compensate him for the additional duties he has as the manager. At the end of the income year, Mario's employer shows his total allowance on his income statement.
- Mario must include the allowance as income in his tax return.
- Mario can't claim a deduction because he doesn't incur any deductible expenses. The allowance compensates Mario for the additional duties he takes on as a manager. It isn't to help him pay for any work-related expenses.
- Wendy is a hairdresser. Wendy's employer requires all employees to wear an apron with their name printed across it. The aprons protect Wendy's clothes while she is working.
- Wendy's employer doesn't provide the aprons to Wendy but they pay her a clothing allowance of $200. Wendy buys 2 new aprons during the income year at a cost of $120.
- At the end of the income year, Wendy's employer shows the total amount of the clothing allowance on her income statement.
- Wendy must include the allowance of $200 as income in her tax return.
- Wendy can claim a deduction of $120 in her tax return for the cost of the aprons.
Reimbursements
- you don't include the reimbursement as income in your tax return
- you can't claim a deduction for the expense.
- Deductions for work expenses
- Record keeping for work expenses
Car expenses
- live a long way from your usual or regular workplace
- have to work outside normal business hours – for example, weekend or early morning shifts.
- the tools or equipment are essential to perform your employment duties
- the tools or equipment are bulky, meaning that because of the size and weight, they are awkward to transport
- they can only be transported conveniently using a motor vehicle
- there is no secure storage for such items at the workplace.
- directly between separate jobs on the same day (provided neither of the workplaces is your home) – for example, from the salon to your second job as a TAFE trainer
- to and from an alternative workplace for the same employer on the same day – for example, driving from the beauty salon to a client's home for a makeup booking
- from home directly to an alternative workplace – for example, driving to a training course that is being held somewhere other than your regular place of work.
- own the car
- lease the car (directly from the finance company)
- hire the car under a purchase agreement (with the car dealership or a finance company).
- vehicle with a carrying capacity of one tonne or more (such as a ute)
- vehicle that can transport 9 passengers or more (such as a minibus).
Example: equipment not bulky
- the kit is not large enough to be considered bulky
- her employer provides a secure storage area and it is Serena's choice to take her kit home each day.
- Serena is a hairdresser and drives her own car to and from work each day. Serena chooses to take her kit home at the end of each day. Her kit contains all necessary hair tools and equipment for her to do her job.
- Her employer provides a secure storage area for all of the employees to store their personal equipment.
- Serena can't claim a deduction for the cost she incurs for home to work travel when she transports her kit home each day because:
- Serena's travel between her home and the salon is private travel between her regular place of employment and her home.
Example: travelling between alternative workplaces for the same employer
- his usual store and the other store
- from the other store (which is an alternative workplace) to his home.
- Jesse is a makeup artist in a popular retail store. He is based at a particular store but sometimes his employer requires him to travel to other stores to complete makeup applications. After travelling between stores, Jesse travels directly home.
- Jesse can claim a deduction for the expenses he incurs to travel between:
- Jesse can't claim a deduction for travel between his home and his regular workplace (his usual store) as this is private travel.
Child care
- You can't claim a deduction for child care (including school holidays and before and after school care) when you're working. It is a private expense, and the expenses have no direct connection to earning your income.
Clothing and uniform expenses (including footwear)
- protective clothing – clothing that has protective features or functions that you wear to protect you from specific risks of injury or illness at work. For example, aprons or smocks worn to protect you and your clothes from bleach and hair dyes. Conventional clothes you wear at work are not regarded as protective clothing if they lack protective qualities designed for the risks of your work. This includes jeans, drill shirts, shorts, trousers, socks, closed shoes.
- occupation-specific – clothing that distinctly identifies you as a person with a particular profession, trade or occupation. For example, a judge's robes or a chef's chequered pants. Items traditionally worn in a profession are not occupation-specific where the clothing is worn by multiple professions.
- a compulsory uniform – clothing that your employer strictly and consistently enforces you wear by workplace agreement or policy and distinctly identifies either you as an employee working for a particular employer
- the products or services your employer provides.
- a non-compulsory uniform – a uniform that is not compulsory to wear and that your employer registers on the Register of Approved Occupational Clothing.
Example: compulsory uniform with logo
- the shirts as his employer provides these at no cost to him
- buying or cleaning his black pants or shoes as they are conventional clothes, even though his employer tells him to wear them and he only wears them at work.
- distinctive items with the employer's logo
- compulsory for him to wear at work.
Example: protective clothing
- Thomas is a hairdresser at a local salon and specialises in colouring hair. He buys an apron to wear when he colours client's hair and only uses it at work.
- Thomas wears the apron to protect his clothing and skin from coming into contact with the hair dye.
- Thomas can claim a deduction for the cost of the purchase and laundering of the apron as it is worn to protect him from a specific risk of injury or illness at work.
Drivers licence
- You can't claim a deduction for the cost to get or renew your drivers licence , even if you must have it as a condition of employment. This is a private expense.
Entertainment and social functions
- work breakfasts, lunches or dinners
- attendance at sporting events
- gala or social nights
- concerts or dances
- cocktail parties
- other similar types of functions or events.
Example: entertainment costs you can't claim
- Adam is a makeup artist. His employer encourages him to regularly attend social lunch events organised by his company. These events encourage employees to socialise and network with colleagues.
- Adam can't claim a deduction for the cost of attending the social lunch. This is a private expense.
Fines and penalties
- You can't claim a deduction for the cost of any fines or penalties you get when you travel to work, or during work. This includes parking fines and speeding fines.
Glasses, contact lenses and anti-glare glasses
- You can't claim a deduction for prescription glasses or contact lenses , even if you need to wear them while working. These are private expenses.
- You can claim a deduction for the cost of protective glasses if you wear them to reduce the real and likely risk of illness or injury while working. Protective glasses include anti-glare or photochromatic glasses, sunglasses, safety glasses or goggles.
- You can only claim a deduction for the work-related use of the item.
Grooming expenses
- you receive an allowance for grooming
- your employer expects to be well groomed when at work.
- You can't claim a deduction for hairdressing, cosmetics, hair and skin care products, even if:
- All grooming products are private expenses.
Example: grooming expenses not claimable
- Georgie is a beautician. Her employer expects her to be well groomed at all times, including wearing makeup and having her hair up. Georgie buys makeup to wear at work and a hair care kit to help her style her hair into a bun.
- Georgie can't claim a deduction for the cost of her makeup or the hair care kit. These are private expenses.
Example: no deduction for hairdressing expenses
- Hairdresser or beauty professional expenses L–P
- Hairdresser or beauty professional expenses R–S
- Hairdresser or beauty professional expenses T–W
Laundry and maintenance
- protective (for example, an apron)
- occupation specific and not a conventional, everyday piece of clothing such as jeans or general business attire
- a uniform either non-compulsory and registered by your employer on the Register of Approved Occupational Clothing or compulsory.
- $1 per load if it only contains clothing you wear at work from one of the categories above
- 50c per load if you mix personal items of clothing with work clothing from one of the categories above.
Example: laundry expenses deductible
- Helana works for a salon as a hair stylist and beautician. When working as a hair stylist, Helana must wear black trousers, a black shirt and an apron with the salon's name on it. Her employer requires her to wear these items. They supply and wash the apron but not the black trousers or shirt.
- When Helana is working as a beautician in the salon, her employer provides a beautician's tunic with the salon logo on it. This identifies her as the beautician on duty. Helana must wash the tunic herself.
- She washes, dries and irons her tunic with her plain black hairdressing clothes twice a week. Helana works 48 weeks during the year.
- As Helana's hairdressing clothes are plain everyday clothing items, she can't claim the cost of washing, ironing or drying these items even though she only wears them to work and washes them with her tunics. Therefore, she can only claim 50 cents per load of laundry.
- Her claim of $48 for laundry expenses is worked out as follows:
- Number of claimable laundry loads per week × number of weeks = total number of claimable laundry loads.
- 2 × 48 = 96
- Total number of claimable laundry loads × reasonable cost per load = total claim amount.
- 96 × $0.50 = $48
Meal and snack expenses
- overtime meal expenses , but only if you buy and eat the meal while you are performing overtime and you receive an overtime meal allowance under an industrial law, award or agreement
- the cost of meals you incur when you are travelling overnight for the purpose of carrying out your employment duties ( travel expenses ).
- You can't claim a deduction for the cost of food, drink or snacks you consume during your normal working hours, even if you receive a meal allowance. These are private expenses.
Newspapers and other news services, magazines and professional publications
- a direct connection between your specific work duties and the content
- the content is specific to your employment and is not general in nature.
- The cost of newspapers, other news services and magazines are generally private expenses and not deductible.
- You can claim a deduction for the cost of buying or subscribing to a professional publication, newspaper, other news services or magazines if you can show:
- If you use the publication for work and private purposes, you can only claim your work-related use.
Example: magazines
- Morton is a senior hair stylist. He must keep up to date with all the latest trends in hair colours, styles and cuts. To keep up to date, Morton buys 4 different magazines each month. Two of the magazines are general fashion magazines and the other 2 magazines specialise in the latest developments in hair design.
- Morton can't claim a deduction for the cost of the 2 general fashion magazines. These are too general in nature and the expense is private.
- Morton can claim a deduction for the cost of the 2 magazines that specialise in the latest developments in hair design.
Overtime meal expenses
- you receive an overtime meal allowance under an industrial law, award or agreement
- the allowance is on your income statement or payment summary as a separate allowance
- you include the allowance in your tax return as income.
- up to the reasonable amount, you don't have to get and keep receipts
- more than the reasonable amount, you must get and keep receipts for your expenses.
Example: deduction for overtime meal
- Wyatt is an apprentice hairdresser. He works out that 30 times during the year he worked overtime, after completing his normal 8-hour shift. Each time, his employer provides him with a meal break and a meal allowance of $20.
- Wyatt usually buys and eats a meal during his overtime which costs $15. His income statement shows his overtime meal allowance as a separate allowance of $600. This is his 30 overtime shifts × $20.
- In his tax return, Wyatt includes his allowance of $600 as income. He also claims a deduction for his overtime meal expense.
- He works this out as the amount he spent on overtime meals multiplied by the number of overtime shifts or:
- $15 × 30 overtime shifts = $450.
- As the amount Wyatt spent on his meals is less than the reasonable amount, he doesn't have to keep receipts. However, if asked, Wyatt will have to show that he spent the $450 on overtime meals and how he worked out his claim.
- For more information, see TD 2024/3 Income tax: what are the reasonable travel and overtime meal allowance expense amounts for the 2024–25 income year?
Parking fees and tolls
- You can't claim a deduction for parking at or near a regular place of work. You also can't claim a deduction for tolls you incur for trips between your home and regular place of work. This is a private expense.
- You can claim a deduction for parking fees and tolls on work-related trips.
Example: parking fees
- Manuel is a hairdresser and drives his own car to work each day. He pays to park in the secure parking centre near the salon where he works.
- Manuel's employer owns a couple salons and sometimes asks Manuel to fill in at one of the other salons. On these occasions, he drives his car either from home or from his usual salon (his regular place of work) to the other salon. Manuel pays for parking near the other salon which isn't reimbursed by his employer.
- Manuel can't claim the cost he incurs for parking at his regular place of work. However, he can claim his parking at the other salon as this is incurred when he is travelling to an alternative workplace.
Phone, data and internet expenses
- provides you with a phone for work and pays for your usage
- reimburses you for the costs.
- Mobile phone, mobile internet and other devices
- Home phone and internet expenses
Example: calculating phone expenses
- Sebastian is an employee mobile makeup artist. At the start of each working day, Sebastian's manager sends him a list of appointments. Sebastian uses his mobile phone to contact each of the clients on his list to let them know when he is on his way or if he is running late.
- He also contacts his manager if an issue that he can't deal with arises. He is on a set plan of $49 a month.
- He receives an itemised account from his phone provider each month that includes details of his individual phone calls.
- At least once a year, Sebastian prints out his account and highlights the work-related calls he made. He makes notes on his account for the first month about who he is phoning for work – for example, his manager and clients.
- Out of the 300 phone calls he has made in a 4-week period, Sebastian works out that 210 (70%) of the individual phone call expenses billed to him are for work. He applies that percentage to his monthly plan amount ($49 a month).
- Since Sebastian was only at work for 46 weeks of the year (10.6 months), he calculates his work-related mobile phone expense deduction as follows:
- Total work phone calls ÷ total number of phone calls = work use percentage for phone calls
- 210 ÷ 300 = 0.70 (that is 70%)
- Sebastian can claim 70% of the total bill of $49 for each month for work purposes:
- $49 × 0.70 = $34.30
- As Sebastian worked for 46 weeks of the year, he calculates his work-related mobile phone expense deduction as follows:
- 10.6 months × $34.30 = $363.58
Example: work and private use
- Sylvette is a hairdresser. She uses her computer and personal internet account at home to complete an advanced hair styling course online. Sylvette also uses her computer and the internet for private purposes.
- Sylvette's internet use diary showed 10% of her internet time was for completing the advanced hair styling course and 90% was for private use. As her internet service provider charge for the year was $1,200 she can claim:
- $1,200 × 0.10 = $120 as work-related internet use
- If anyone else was accessing the internet connection, Sylvette needs to reduce her claim to account for their use.
Protective items
- to protect you from the real and likely risk of injury or illness in your work environment or while performing your work duties
- in direct connection to earning your employment income.
- supplies the protective items
- pays for the protective items
- reimburses you for the costs you incur to buy protective items.
- Hairdresser or beauty professional expenses A–K
- Hairdresser or beauty professional expenses R–S
- Hairdresser or beauty professional expenses T–W
Removal and relocation expenses
- You can’t claim a deduction for the cost to transfer or relocate to a new work location. This is the case whether the move is a condition of your existing job or you are taking up a new job.
Example: no deduction for removal and relocation expenses
- Belinda is a beauty therapist in Townsville. Her employer also has a salon in Cairns. Recently a few experienced therapists have left the Cairns salon so Belinda's employer transfers her to that salon. Belinda receives an allowance to cover the cost of moving and getting to Cairns to start work there.
- Belinda can't claim a deduction for the cost of moving to Cairns or for the cost of travelling to Cairns to commence work there. The expenses are private.
Repairs to tools and equipment
- You can claim a deduction for repairs to tools and equipment you use for work. If you also use them for private purposes, you can only claim an amount for your work-related use.
Example: repairs to equipment
- Hudson is an employee hairdresser and is required to supply all of his own tools and equipment including hair straighteners and hair dryers.
- Hudson's hair straighter stops working so he pays $50 to get it repaired. The cost of the repair wasn't reimbursed by his employer.
- Hudson can claim a deduction of $50 for the repairs to his hair straighter because he uses it for work. .
- If Hudson also used the straightener for private purposes, he would have to apportion his deduction as he can only claim an amount for his work-related use.
Self-education expenses
- maintains or improves the skills and knowledge you need for your current duties
- results in or is likely to result in an increase in your income from your current employment.
- doesn't have a connection with your current employment
- only relates in a general way to your current employment
- enables you to get employment or change employment.
- Higher Education Loan Program (HELP) (FEE-HELP and HECS-HELP)
- VET Student Loans (VSL)
- Australian Apprenticeship Support Loan (AASL)
- Student Financial Supplement Scheme (SFSS)
- Student Start-up Loan (SSL).
Example: self-education resulting in increased income
- Dan is a hairdresser in the city where he does style cuts and colours. He wants to become a senior stylist for the hair salon as the pay rate is higher, so he enrols in a specialty cutting and styling techniques course run at his local TAFE.
- When he completes the course, his employer is likely to offer him a promotion to the position of senior stylist.
- Dan can claim a deduction for the costs he incurs in taking the TAFE course as will increase the skills and knowledge he requires for his current role and is likely to lead to an increase in income from his current employment.
Example: study isn't relevant to current duties
- Maddison is currently a hairdresser in a beauty salon. She decides she would also like to learn about makeup application and enrols in a makeup course at TAFE.
- Maddison can't claim a deduction for her makeup course at TAFE. This is because the course isn't relevant to her current duties as an employee hairdresser.
Seminars, conferences and training courses
- You can claim a deduction for the cost of seminars, conferences and training courses that relate to your work as an employee hairdresser or beauty professional.
- The costs you can claim includes fares to attend the venue where the seminar, conference or training course is held and registration costs. If you need to travel and stay away from home overnight to attend such an event, you can also claim the cost of accommodation and meals.
- You may not be able to claim all of your expenses if attending a seminar, conference or training course is for both work-related and private purposes. If the private purpose is incidental, such as a catered lunch or a reception for delegates, you can still claim all your expenses. However, if the main purpose is not work-related, such as attending a conference while on a holiday, you can only claim the direct costs. Direct costs include the registration costs.
- Where you have a dual purpose for attending the seminar, conference or training course, for example you add a holiday of one week to a training course that runs for one week, then you can only claim the work-related portion.
Example: attending a conference
- Hairdresser or beauty professional expenses A–K
- Hairdresser or beauty professional expenses L–P
- Hairdresser or beauty professional expenses T–W
Taxi, ride-share, public transport and car hire
- You can claim a deduction for transport costs if you travel in the course of performing your work. For example, taking a taxi from your regular workplace to another work location.
- You can’t claim a deduction for transport expenses you incur to travel between home and your regular place of work, these are private expenses.
- You can't claim a deduction if your employer reimburses you for these expenses.
Example: taxi taken in the course of performing work
- Pervin is a beauty therapist in a salon. During the day, Pervin's salon runs out of some products they need for the remaining appointments of the day. Pervin's manager asks her to go and buy the products so they are available for the remaining appointments.
- Pervin takes a taxi to pick up the products for the salon. She pays for the taxi herself but her employer later reimburses her for the cost.
- The taxi trip is travel is in the course of performing Pervin's work. However, Pervin can't claim a deduction because her employer reimburses her for the cost of the taxis.
Tools and equipment
- you use it mainly to produce non-business assessable income
- it's not part of a set that together cost more than $300
- it's not identical, or substantially identical to, other items that together cost more than $300.
- cost more than $300
- is part of a set that together cost more than $300
- is identical, or substantially identical to, other items that together cost more than $300.
Example: deduction for tools and equipment $300 or less
- they cost $300 or less
- she only uses them for work purposes
- they aren't part of a set that together cost more than $300.
Example: deduction for tools and equipment over $300
- During the year, Jeff buys a hair dryer worth $500 which he only uses for work purposes.
- As the hairdryer cost more than $300, Jeff can claim a deduction for the decline in value over the effective life of the hairdryer. However, as Jeff buys the hairdryer part way through the year, he can only claim a deduction for the period he owns the hairdryer.
Travel expenses
- travel for work
- sleep away from your home overnight in the course of performing your employment duties.
- you slept in accommodation your employer provides
- you eat meals your employer provides
- your employer or a third party reimburses you for any costs you incur.
- you were away overnight
- you spent the money
- the travel directly relates to earning your employment income
- how you work out your claim.
- the travel allowance is not on your income statement or payment summary
- the travel allowance doesn't exceed the Commissioner's reasonable amount (the reasonable amount is the amount we set each year for determining whether an exception from keeping written evidence applies for accommodation, meal and incidental expenses which are covered by a travel allowance)
- you spent the whole allowance on deductible accommodation, meal and incidental expenses (if applicable).
- you receive a travel allowance from your employer for the expenses
- your deduction is less than the Commissioner’s reasonable amount.
Example: reasonable travel allowance
- it's less than the reasonable allowance amount
- it's not shown on her income statement
- she spends it all to cover her travel expenses.
Union and professional association fees
- You can claim a deduction for union and professional association fees you pay. You can use your income statement or payment summary as evidence of the amount you pay if it's shown on there.
Watches and smart watches
- Hairdresser or beauty professional expenses A–K
- Hairdresser or beauty professional expenses L–P
- Hairdresser or beauty professional expenses R–S
- Income and allowances
- Record keeping for work expenses
✅ Deduction Checklist for Hairdressers and Beauty Professionals
Use this checklist at tax time to make sure you don't miss any deductions.
💡 Practical Tips
📱 Use the myDeductions Tool
Download the ATO app and use myDeductions to record expenses throughout the year. Much easier than collecting receipts at tax time.
🧾 The $300 Rule
You can claim up to $300 in work-related expenses without receipts — but you must have actually spent the money and it must be related to earning your income.
🏠 Working From Home
If you work from home, you can claim 67 cents per hour (revised fixed rate) for running expenses like electricity, internet, and phone. Keep a record of hours worked.
🚗 Car Expenses
Choose between the cents per km method (85c/km, max 5,000 km) or logbook method (actual expenses × business use %). A 12-week logbook is valid for 5 years if your circumstances don't change.
⚠️ Common Mistakes & ATO Audit Flags
The ATO actively audits hairdressers and beauty professionals claims. Avoid these common errors and know what triggers extra scrutiny.
❌ Common Mistakes
Claiming expenses reimbursed by your employer
Fix: If your employer already paid you back, you can't also claim a deduction. Check your pay slips.
Not keeping receipts for claims over $300
Fix: You must have records for all deductions over $300. Bank/credit card statements alone aren't enough — keep the actual receipts.
Claiming private expenses as work-related
Fix: Only expenses directly related to earning your income are deductible. Personal items worn or used at work don't count.
🔍 ATO Audit Flags
Deductions significantly above average for your occupation
The ATO publishes benchmarks. If your claims are well above the norm, expect a 'please explain'.
Claiming the same expense twice (e.g., WFH and office supplies)
The ATO's data matching catches double-dips. Make sure each expense is claimed once.
Data sourced from the Australian Taxation Office — Hairdressers and Beauty Professionals Guide. Last updated: 2026-03-14.