Is brokerage tax deductible?

[kat]

I was wondering if trading fee (brokerage) is tax deductible. Can anyone help to explain?

Thanks,

Kat

 

[cutz]

Normally it's factored into your cost base.

 

[So_Cynical]

Its part of the cost base when calculating capital gains tax.

 

[Alcyone]

It depends on whether you are a share trader or investor.

If you are an investor the brokerage forms part of the cost base.

If you are carrying on a business of share trading, the brokerage is deductible as a business expense.

Check out the ATO website for details of what should be considered in determining whether you are carrying on a business of share trading - or discuss with your tax adviser.

 

[pixel]

This article should answer most of your questions.

http://www.ato.gov.au/businesses/content.asp?doc=/content/21749.htm&page=1#H1

 

[jerome]

Thanks for the info everyone.

Very handy resource.
J

 

[wade]

What about data subscriptions? and an information subscription eg. aspect huntley?

Can your computers be tax deductable if they are used for trading? or any books or education?

cheers,
wade.

 

[Wysiwyg]

What about data subscriptions? and an information subscription eg. aspect huntley?

Can your computers be tax deductable if they are used for trading? or any books or education?

cheers,
wade.

Speaking from a share trading business perspective, yes they can.