There are few things more frustrating than finding out you have failed to take advantage of a tax break you were entitled to. And with a tax system as complicated as ours, it can easily happen. 1. Claim your investment costs While the Tax Office rejects claims for the costs of drawing up a financial plan, you can still claim for ongoing management fees or retainers paid to financial advisers. This also covers the costs of advice to change the mix of investments, provided it does not amount to a new plan. You may also be able to claim for the costs of travel to consult with brokers, or to attend annual general meetings of companies in which you hold shares. 2. Make the most of your medical expenses The tax rules on medical expenses progressively have been tightened, which has discouraged many people from bothering to claim. This can be a costly mistake. You can still claim a tax offset if your medical expenses – net of returns from health funds – are more than $1,500 in any single tax year. The offset is 20% of that excess. So, for example, if your eligible net expenses are $2,500, you're entitled to $200 off your tax bill. To maximise your claim, keep the following points in mind: 3. Get up to an instant 150% return on your superannuation contribution! From 1 July 2007, the Government will continue to contribute $1.50 for every $1 an eligible individual personally contributes into superannuation, up to a maximum of $1,500 for the year. 4. Claim for disability insurance premiums You can claim deductions for premiums paid on an income protection policy. These policies typically provide a stream of income during a period when you are disabled and unable to work. The deduction applies whether you are self-employed or an employee. 5. Don't forget your sunglasses, sun hat and sunscreen If your job requires you to work outside for sustained periods during the day, you may be able to claim for the cost of sunglasses, sun hats and sunscreen. It is not necessary to show you have a prior history of sun-related injury. The Tax Office accepts this deduction will typically apply if you work outside in industries such as building and construction; delivery and courier services; farming, agriculture and horticulture; fishing; forestry and logging; landscaping and gardening; open air minerals; oil and gas exploration; and outdoor sports. 6. Getting deductions for your home expenses Many people do a substantial amount of their work activities at home, but are confused about whether they can claim any of their domestic expenses as tax deductions. The basic position is this. If you actually conduct your business from a defined part of your home premises – such as a doctor who has consulting rooms at home – you can claim a corresponding part of your expenses such as mortgage interest, rent, insurance, council rates, heating, lighting, depreciation and insurance. However, the more typical situation involves someone who simply maintains a home study primarily to do work that is not convenient to do at their normal workplace. In this case, the deductions are limited to basic running expenses directly attributable to the work activities. So, for example, you can claim for heating, lighting and depreciation, but not rent, mortgage interest, insurance or council rates. 7. Claim for setting up or closing your business Normally, you can't claim a deduction for the costs of setting up or closing down a business. But you can now claim a five year write-off for some of these expenses. This concession applies to various capital costs, such as: setting up a company, trust or partnership to operate the business; converting the business structure to another structure – for example, if partners agree to incorporate; raising equity for the business; and ceasing to carry on the business – for example, legal costs of terminating employees' services, or the costs of site rectification. This five year write-off means you can deduct 20% of the costs in the year you spend them, and 20% in each of the subsequent four years. 8. Get something back on theft losses Having money stolen from your business is bad news, but you can often soften the blow through the tax system. A tax deduction for the loss may be available if the theft was by an employee or occurred as a natural part of your business operations. Some examples of successful claims have involved: cheques forged by an employee; armed robbery on the way to the bank with the day's takings; and robbery of weekend takings that could not be banked until Monday. Bear in mind, too, that you may be able to claim for the costs of keeping a guard dog. 9. Claim for work-related first aid courses If you are person designated to deal with first aid emergencies in your workplace, you may be entitled to a deduction for costs you personally incur in taking a first aid course. This could typically apply, for example, to police officers, building workers, hospitality industry workers, factory workers, airline industry employees (such as cabin attendants), hairdressers and teachers. Of course, the deduction won't apply if the cost is paid or reimbursed by an employer. 10. Baby Bonus Baby Bonus is now automatically calculated by the Family Assistance Office. The base rate is $5,000. 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