Hi all, Recently I bought an IP through my HDT. I made a quick renovation while searching for a tenant. To help with the renovation works I engaged a handyman and I paid him cash on hand. He doesn't have a business so he couldn't give me any invoices. Can I claim the money I paid for his work? He is happy to include that amount in his tax return; he didn't earn any other income in the last financial year, however he doesn't receive any support from anyone. I think that the expense would have to be treated as capital and not repairs. Any comments? Thank you, capitalist
Hi Cap Surely a simple solution is to create an invoice for him, post it to him with a self addressed envelope, get him to sign it and return to you? As to GST related issues I think I'll have to defer to our accountants. The lazy tax office seems to like people to withhold the GST component in certain circumstances. Cheers N.
