FDC Tax provides tax and accounting services for family day care providers, with over 20 years of experience in this specialized area. They offer advice on record keeping requirements, deductible expenses, claiming home office costs, and the small business technology investment boost. The document outlines guidelines for documenting hours worked from home, claiming actual costs, and eligible expenditures for the tech investment bonus.

1. WHO ARE WE?
• FDC Tax are Registered Tax Agents and Accountants who specialise in Family Day Care
• 20 years Family Day Care Tax and Accounting experience
• Services offered Australia wide remotely and securely over the internet since 2007

2. 2023 FDCA TAX TIPS WEBINAR
1
Diary and Record Keeping Requirements
2
Business Related Expenses and
Deductions
3
20% Technology Investment Bonus
Changes to claiming home
electricity and running costs
4
5 Additional Questions and Find Out More Family Day Care is unique when it comes to tax and accounting

3. - Advertising
- Bank Fees and Charges
- Books for Children
- Cleaning
- Conferences and Seminars
- Consumables
- Courses / Training Self Education
- Decline in Value (Depreciation)
- Electricity, Gas, Heating
- Excess Water
- Food and Drink
- Garden and Surrounds
- General Equipment – Costs, high chairs, bouncinettes,
mattresses, pushers, strollers etc.
- Health & Safety Equipment
- Hire of Equipment
- Insurances
- Interest on loans for Family Day Care
- Journals and Magazine Subscriptions
- Linen – hand towels, bibs, pillow cases, water proofs,
table protectors, sheets, blankets, towels, washers, placemats etc.
- Memberships – Family Day Care Australia, IFDCO, State Educator
Associations, Unions and Other Professional Associations
- Motor Vehicle Expenses
- Mortgage Interest
- Playground Equipment
- Professional Services – Accounting and Legal Fees
- Protective Clothing
- Rates
- Rent
- Reference Books eg Tax Guide
- Repairs, Replacements and Maintenance
- Safety Equipment – safety catches, door stops,
doorway,
barriers etc
- Sand and Sand Pits
- Scheme Levies and Charges
- Stationery and Postage
- Storage of Family Day Care Equipment
- Superannuation Contributions
- Telephone, Internet and Mobile fax, email
- Toys
- Travelling and Parking – Taxis, buses, trams and trains
WHAT TYPE OF EXPENSES CAN I CLAIM AS A TAX
DEDUCTION?

4. Special Deductions
ALL THESE EXPENSES CAN BE
DIVIDED INTO 3 CATEGORIES
Problem Expenses
Exclusive Expenses
1 2 3
These are expenses which
are generally fully deductible
as they relate exclusively to
your Family Day Care
Business.
Where Apportionment may
be necessary as there is a
combined private/family
and business use.
Unique ATO claim guidelines
and laws – EG Motor
Vehicles, Superannuation,
Depreciation, Technology
Boost

5. HOME ELECTRICITY AND RUNNING
COSTS
Pre 1 March 2020
• 52 Cents/Hour – Includes Electricity, Gas, Cleaning Costs, and Home Office Furniture; and/or
• Actual Costs – Business Percentage Only per diary or calculation
1 March 2020 to 30 June 2022 – Covid 19
• 52 Cents/Hour and/or Actual Costs per above; OR
• 80 Cents/Hour - Includes Electricity, Gas, Cleaning Costs, and Home Office Furniture, Home Phone & Internet, Mobile
Phone, computer consumables and computer equipment
Post 1 July 2022
• 67 Cents/Hour – Includes Electricity, Gas, Cleaning Costs, and Home Office Furniture, Home Phone & Internet, Mobile
Phone, computer consumables; OR
• Actual Costs

6. RECORD KEEPING FOR HOME RUNNING
COSTS
Rate per Hour
Pre 1 July 2022 to 28 February 2023
• Record or Diary of the number of hours worked from home over a representative period (eg 4 weeks)
From 1 March 2023 to 30 June 2023
• Record of the total number of actual hours (eg a diary) on each occasion you worked from home for the period
From 1 July 2023
• Record of the total number of actual hours (eg a diary) on each occasion you worked from home for the entire year
Family Day Care – Hours Worked Report and/or Timesheets

7. RECORD KEEPING FOR HOME RUNNING
COSTS
Actual Costs – Diary and Invoices (if not using rate per hour)
All Receipts and Invoices
• Energy Costs (Electricity & Gas)
• Home Phone, Internet and Mobile Phone
• Home Office Furniture & Equipment including computers
Diaries
Electricity and Equipment
• A diary (or similar record) of the total number of hours worked over a 4 week period where home hours are regular
• A diary (or similar record) of the total number of hours worked for the entire income year where hours are not regular
• Equipment, Internet, Streaming and similar items and Services

8. RECORD KEEPING FOR HOME RUNNING
COSTS
Actual Costs – Diary and Invoices
Equipment, Internet, Streaming and similar items and Services
• All Receipts and Invoices
• A diary (or similar record) of the total number of hours or usage over a 4 week period where home hours or usage is
regular
• A diary (or similar record) of the total number of hours worked for the entire income year where hours or usage are not
regular
What to Record – FDC, Private and Shared
• Equipment and appliances – Hours / Days used or Cycles for FDC, Private and Shared
• Internet and Streaming Services – Data or Hours Used for FDC, Private and Shared
• Mobile Phone – Calls, Messages and Hours or minutes used for FDC, Private and Shared

9. SMALL BUSINESS TECHNOLOGY INVESTMENT
BOOST
• 20% Bonus deduction for digital operations or digitising your business’ operations
• Applies to eligible expenditure incurred from 7:30pm (ACT time) 29 March 2022 to 30 June 2023
• Limit of $20,000 from 29 March 2022 to 30 June 2022, and $20,000 in the 2023 income year
• Eligible expenditure up to 30 June 2022 and 30 June 2023 are claimed in 2023 income tax
return.
• Equipment must be purchased, installed and ready for use BEFORE 1 July 2023

10. SMALL BUSINESS TECHNOLOGY INVESTMENT
BOOST
Eligible Expenditure
1. Digital enabling items – Including computer and telecommunications hardware and
equipment, software, internet costs, systems and services that form and facilitate the use of
computer networks.
2. Digital media and marketing costs – Including audio-visual content that can be created,
accessed, stored or viewed on digital devices, including web page design.
3. E-commerce – Including goods and services supporting digitally ordered or platform-enabled
online transactions, portable payment devices, digital inventory management, subscriptions to
cloud-based services, and advice on digital operations or digitising operations (e.g., advice
about digital tools to support business continuity and growth).
4. Cyber security – Including cyber security systems, backup management & monitoring services.

11. Taxable Income $40,000
Taxable Income Before
$40,000.00
Less: $20,000 W-Off
$20,000.00
Taxable Income
$20,000.00
Tax on $20,000 = $0.00
Tax Saving $4,142
SPENDING MONEY TO SAVE TAX
Tax on $40,000* = $4,142
Taxable Income $20,000
Taxable Income Before $20,000.00
Less: $20,000 W-Off $20,000.00
Taxable Income $0
Tax on $0 = $0.00
Tax Saving $0.00
Tax on $20,000* = $0
* Assuming entitlement to Non-Refundable Tax Offsets of greater than $342.00
* Excluding Medicare

12. Prepay or delay paying expenses (either
prior to 30 June 2023 or after 1 July
2023) depending upon which year you
expect to earn the highest income
including:
END OF YEAR CONSIDERATIONS - PREPAY OR DELAY
• Insurances
• Car registration and/or fuel
• Rent - if exclusive area
• Resources and equipment

13. Tailored and individual advice for your personal circumstances:
• Annual Tax Checklist
• What records do I need to keep?
• What is the best record keeping system for me?
• How much of my home can I claim?
• Should I register for GST?
• How much should I be saving for tax and PAYG?
• What deductions can I claim for my car and other items?
• Family and Other Business Returns and advice
HOW CAN WE HELP YOU FURTHER?
Get in Touch
Book a consultation, or request a call back at www.fdctax.com.au
Call us directly on 1300 FDC TAX (332 829) or email info@fdctax.com.au