Tiler Tax Deductions Australia 2025–26 — Complete Tiler Guide

Whether you call yourself a tiler or a Tiler, the ATO calls you a small business owner — and that means you're entitled to claim every legitimate work-related deduction. This guide covers every tax deduction Australian tilers can claim in 2025–26, updated with current rates.

What Changed for Tilers in 2025–26

Tools and Equipment

Every tool you purchase for your tiler work is deductible. Under the instant asset write-off (until 30 June 2026), items under $20,000 each can be claimed in full in the year of purchase.

• Tile cutters (manual and electric)
• Wet tile saws and angle grinders
• Notched trowels and float tools
• Grout floats and sponges
• Spirit levels and laser levels
• Tile spacers and wedges
• Rubber mallets and tile setting tools
• Adhesive mixing equipment
• Knee pads — essential for floor tiling
• Tile lifting suction cups
• Consumables — blades, discs, fixings and other items used up in your work
• Tool repairs and maintenance on existing equipment
• Toolbox, bags and storage systems

Vehicle Deductions — Updated to 88 Cents Per Kilometre

Your vehicle is typically your biggest tax deduction. The cents per km rate increased to 88 cents per km for 2025–26 (up from 85c), but the logbook method almost always produces a larger deduction for tilers who drive more than 5,000 business kilometres per year.

Keep a 12-week ATO logbook, calculate your business-use percentage, then claim that percentage of all annual vehicle costs — fuel, rego, insurance, loan interest, servicing and depreciation.

→ Complete ATO vehicle logbook guide →

$20,000 Instant Write-Off — Act Before 30 June 2026

The instant asset write-off threshold drops from $20,000 to $1,000 on 1 July 2026. If you need new tools or equipment, buying before 30 June gets you the full deduction this financial year instead of depreciating the cost over several years.

→ Full guide: what qualifies and how to claim →

PPE and Protective Clothing

• Steel-cap safety boots
• High-visibility vests and shirts (compulsory on most sites)
• Hard hat and safety helmet
• Safety glasses and hearing protection
• Dust masks and respiratory protection
• Protective gloves
• Heavy-duty knee pads — most critical PPE for tilers
• Chemical-resistant gloves — adhesive and grout contact
• Silica dust respirators — tile cutting generates silica dust
• Branded work shirts with your business logo
• Laundry costs for deductible work clothing — up to $150 without receipts

Licences, Training and Memberships

• Tiling contractor licence (state body)
• Working at heights certificate (wall tiling)
• Safe use of silica-containing materials — mandatory training
• White Card renewal — Construction Induction Training
• First aid certificate renewal
• Any trade-specific CPD or continuing education courses
• Industry association memberships

Insurance Premiums

All business insurance is fully tax deductible: public liability, tools and equipment insurance, income protection and workers compensation. Not covered yet? Compare tradie insurance options →

Super Contributions — $30,000 Cap for 2025–26

Self-employed tilers can claim personal super contributions as a full tax deduction up to $30,000 for 2025–26. At 32.5% marginal rate, a $15,000 contribution saves $4,875 in tax.

→ Calculate your super tax saving — free →

→ See also: Complete Tradie Tax Deductions Guide 2025–26 — every deduction category with ATO rules.

→ See also: Complete Tradie Tax Deductions Guide 2025–26 — every deduction category with ATO rules.

## Vehicle and Transport Deductions for Tilers Your vehicle is one of the biggest deductible expenses as a tiler, but the ATO watches this area closely. You can claim either cents-per-kilometre or actual expenses — you need to pick the method that works best for your situation and stick with it. **Cents-per-kilometre method (2025–26)** The ATO rate is currently **88 cents per kilometre** for work-related travel. This is the simpler option if you don't want to track fuel, maintenance, and repair receipts individually. Keep a logbook for 12 weeks to establish your work-to-total-kilometres ratio, then apply that percentage to your total annual kilometres. Example: If you drive 50,000km per year and 80% is work-related, you can claim 40,000 × $0.88 = **$35,200**. **Actual expenses method** If you drive a newer ute or van, actual expenses might yield a bigger deduction. You can claim: - Fuel and oil - Servicing and repairs - Replacement tyres - Registration and roadside assistance - Insurance premiums - Depreciation (if you own the vehicle) - Interest on a vehicle loan - Parking fees and tolls related to work travel You'll need to keep every receipt and maintain a logbook to prove the work-related percentage. Many tilers find this method better once they're established because newer vehicles have higher running costs. **What you cannot claim** Traffic fines, speeding tickets, and parking infringement notices are personal penalties — the ATO won't let these through. Neither can you claim commute travel from your home to your first job site, though travel between job sites during the day is fully deductible. Using software like Tradify can automatically log kilometres and flag deductible trips, making the actual expenses method much simpler to manage. ## Home Office and Workspace Deductions Many tilers work from home — quoting jobs, managing invoices, ordering materials, and dealing with suppliers from a desk or office space. The ATO recognises this and allows home office deductions, but the rules are strict. **Dedicated workspace method** If you have a dedicated room or area used exclusively for work, you can claim a portion of your home expenses. Calculate the percentage of your home used for work (for example, a 20m² office in a 200m² house = 10%), then claim that percentage of: - Rent or mortgage interest (not principal) - Council rates - Land tax - Home insurance - Utilities (electricity, water, gas) - Internet and phone bills - Repairs and maintenance to that room If you have a dedicated office room, you might claim 10–15% of these expenses. Keep utility bills and a clear record of your workspace dimensions. **Fixed rate method** The ATO also allows a simplified fixed rate of **$0.68 per hour** for home office work. You'll need to track actual working hours — this works well if you spend 2–3 hours daily on admin and quotes. At 2 hours per day, 5 days per week, that's roughly **520 hours annually**, which would give you **$353.60 in deductions**. This method doesn't require separating home expenses; it's a flat allowance based on time spent. It's easier than the dedicated workspace method, but only worthwhile if you're genuinely working from home regularly. **What's not deductible** General household expenses that benefit you personally aren't deductible. You can't claim the cost of your lounge, TV, or coffee maker — only expenses directly tied to your workspace and work activity. ## Tax Deduction Comparison: Vehicle Methods Here's how the two vehicle deduction methods stack up: | **Factor** | **Cents-per-Kilometre** | **Actual Expenses** | |---|---|---| | **Setup complexity** | Low — just track km | High — track every receipt | | **Best for** | High-kilometre, older vehicles | New utes/vans with high running costs | | **Logbook required** | 12-week sample | Full year recommended | | **Example annual deduction (40,000 work km)** | $35,200 | $38,000–$45,000+ | | **ATO audit risk** | Low | Medium (if records are weak) | | **Record-keeping burden** | Light | Heavy | | **Can claim depreciation?** | No | Yes (if you own the vehicle) | | **Best for sole traders** | ✅ Yes | ✅ Yes, if diligent | Most tilers starting out use the cents-per-kilometre method for simplicity. Once you're established and running multiple vehicles or a newer ute, switching to actual expenses often pays off. ## Frequently Asked Questions