Unlike our Aussie neighbours, the New Zealand Inland Revenue Department has very strict rules on what you can and can't claim when it comes to clothing and personal presentation expenses. You might think the justification for why you should be able to claim it is legitimate but unless it falls into the below categories, unfortunately you are out of luck.
Below are guidelines on claiming clothing and personal expenses:
Claimable:
Not claimable:
To quote the IRD, claimable clothing "only includes uniforms or specialist clothing that isn't reasonably suitable for private use and is necessary and peculiar to a particular occupation.
Finally, in close, consider the possible consequences of flouting the law. One personal trainer was given home detention and hundreds of hours community work for claiming exercise clothing (among other things) as a business expense. The case against this trainer involved tax evasion beyond just the clothing but it is a timely reminder of the importance of sticking within the rules.
If you are unsure and would like more guidance on this area, in particular how you can legitimately claim clothing expenses, please contact us today for assistance.
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