Tax Guide for Real Estate Agents 2025
Maximise your tax return with this comprehensive guide for real estate agents, property managers, and auctioneers.
$5,000+
Typical Deductions
88c/km
Vehicle Rate
60-80%
Typical Phone Use
$300
Max Client Gift
🏠 Key Tax Tips for Real Estate Agents
DO Claim:
- ✓ Car expenses (inspections, meetings)
- ✓ Mobile phone (work portion)
- ✓ Agent licence fees
- ✓ CPD and training costs
- ✓ Professional clothing
- ✓ Client gifts (under $300 each)
DON'T Claim:
- ✗ Home to office travel
- ✗ Entertainment (client dinners)
- ✗ Client gifts over $300
- ✗ Personal phone calls
- ✗ Items reimbursed by agency
- ✗ Traffic/parking fines
🚗 Vehicle Deductions - Critical for Agents!
Real estate agents typically have high vehicle use. Choose the best method for your situation:
Cents Per Kilometre
- • 88 cents per km
- • Maximum 5,000 km = $4,400
- • No receipts needed
- • Best if: Low mileage or shared car
Logbook Method
- • Claim actual work % of all costs
- • Fuel, insurance, rego, repairs, depreciation
- • Keep 12-week logbook
- • Best if: High work use (>5,000 km)
Example: High-Use Agent
Car costs $12,000/year (fuel, rego, insurance, depreciation). Work use 70% via logbook.
Deduction: $8,400 (vs $4,400 max on cents per km)
Vehicle & Travel
| Deduction | Amount | Notes |
|---|---|---|
| Cents per km method | 88c/km | Max 5,000 km |
| Logbook method | Work % | Keep 12-week logbook |
| Property inspections | Claimable | Travel to listings |
| Client meetings | Claimable | Not home to office |
| Open home travel | Claimable | Saturday inspections |
| Parking/tolls | Actual cost | Work-related |
Phone & Technology
| Deduction | Amount | Notes |
|---|---|---|
| Mobile phone (work %) | $500-1500/year | Keep itemised bills |
| Phone plan (work %) | Actual cost | Call/data usage |
| Laptop/tablet | Depreciated | Work % if >$300 |
| CRM subscriptions | $200-1000/year | Rex, AgentBox, etc. |
| Photography apps | $50-200 | Property photos |
| Domain listings | Actual cost | If self-paid |
Marketing & Presentation
| Deduction | Amount | Notes |
|---|---|---|
| Business cards | $50-200 | Professional cards |
| Personal marketing | Actual cost | If not agency-paid |
| Photography equipment | Depreciated | Camera, drone |
| Signage costs | Actual cost | If self-funded |
| Gift to clients | <$300 each | Settlement gifts |
| Open home supplies | Actual cost | Refreshments, etc. |
Professional
| Deduction | Amount | Notes |
|---|---|---|
| Licence renewal | $200-500 | Agent/auctioneer licence |
| REI membership | $400-800 | State body |
| CPD courses | Actual cost | Mandatory training |
| Industry conferences | $500-2000 | AREC, etc. |
| Insurance (if self-paid) | Actual cost | PI insurance |
Clothing Deductions
✓ CAN Claim
- • Compulsory uniform with agency logo
- • Occupation-specific clothing
- • Protective clothing if required
- • Laundry of above items
✗ CANNOT Claim
- • Business suits (even if smart)
- • Conventional work clothes
- • Shoes (unless protective)
- • Accessories like ties, jewellery
The ATO is strict on clothing. "Dressing professionally" is not enough - must be compulsory uniform.
Managing Commission Income
Real estate agents often have variable commission income. Tax tips:
PAYG Instalments
- • May need to pay quarterly
- • Based on prior year income
- • Can vary if income changes
Super on Commissions
- • Employer must pay 12% SG
- • Check super on ALL earnings
- • Includes bonuses/commissions
Set Aside Tax
- • Save 30-35% of commissions
- • Use separate savings account
- • Avoid tax time surprises
Income Tax Calculator
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Super Calculator
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Salary Sacrifice
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