🧠 Psychologist Tax Deductions Australia
Mental Health Practitioners — your complete 2026 ATO guide.
Last updated: May 2026
If you work as a psychologist in Australia, you're entitled to claim a deduction for many of the costs you incur doing your job. The ATO has specific rules about what counts and what doesn't — and getting it right can mean a meaningfully bigger refund. This guide covers every tax deduction available to Australian psychologists for the 2025–26 financial year, based on published ATO guidance for the Healthcare & Medical sector. We break down what's fully deductible, what's partially deductible (and how to apportion it), and what to avoid claiming.
The 3 ATO golden rules
To claim a work-related deduction, you must meet all three:
- You paid for it personally and weren't reimbursed.
- The expense directly relates to earning your income.
- You have a record (usually a receipt).
✅ Fully deductible 14 items
AHPRA psychology registration
Mandatory psychology registration fees are deductible.
APS (Australian Psychological Society) membership
Professional association fees are deductible.
Clinical supervision fees
Self-funded supervision required for your role is deductible.
CPD courses and short courses
CPD that maintains your psychology skills is deductible.
Psychological assessment kits and tools
Self-funded assessment tools used in your work are deductible.
Professional indemnity insurance
Professional indemnity insurance is deductible.
Psychology reference texts and journals
Work-related reference works are deductible.
Conference and seminar fees
Psychology conferences are deductible.
Medicare provider number application
Costs to maintain your provider eligibility are deductible.
Office stationery and clinical records
Work-related stationery is deductible.
Income protection insurance
Income protection premiums paid outside super are deductible.
Working with Children Check
WWCC fees required for your role are deductible.
Ergonomic chair and consulting room equipment
Equipment used in your consulting work is deductible.
Parking and tolls (work travel)
Parking and tolls during work-related travel are deductible.
⚠️ Partially deductible 4 items
These costs are split between work and private use. You can only claim the work-use percentage — keep a 4-week diary or 12-week logbook.
Mobile phone (work-related use)
Work-related calls, messages and data are deductible at the work-use percentage based on a 4-week log.
Home internet (work-related use)
The work-related proportion of your home internet is deductible based on usage records.
Laptop or computer (work use)
The work-related percentage of a personal laptop used for work is deductible; items over $300 are depreciated.
Home office running costs
Electricity, gas, and depreciation of office furniture used for work are deductible (70c/hr fixed rate or actual cost method).
❌ Not deductible 2 items
Common audit traps. Claiming these can trigger ATO review and penalties.
General clothing (non-uniform)
Conventional clothing worn to work is not deductible, even if your employer requires it.
Home-to-work commute
Travel from home to your regular workplace is private and not deductible under ATO rules.
Need help lodging your return?
ALI Tax's qualified agents handle returns Australia-wide. Average refund: $2,847.
Get started with ALI Tax →Frequently asked questions
What's the simplest way to track psychologist deductions during the year?
Keep a separate folder or app (like Receipt Bank or your phone's notes) and capture every work-related receipt as you spend. The 'shoebox approach' costs most psychologists thousands in lost refunds each year.
Can I claim something my employer reimbursed?
No. If you've been reimbursed (or it was salary-packaged), you can't claim a deduction for it as well.
Do I need receipts for everything?
You need a receipt or written record for any deduction. For laundry up to $150 and small expenses up to $300 in total, you can use the ATO simplified methods without keeping every receipt.
What's the difference between deductible and partial?
Fully deductible means you can claim 100% of the cost. Partial means it's split between work and private use — you can only claim the work-use percentage based on a diary or logbook.
How long do I need to keep my receipts?
Five years from the date you lodge your tax return. The ATO can ask for records anytime in that window.