Yes, a tax deduction should ordinarily be claimable for participation fees. As part of our Audit Insurance policy, we remind our clients that such items are not covered as listed below:
- Audits, reviews or investigations where notification was given prior to the inception of cover or your confirmation of participation.
- Punitive costs such as penalty tax, costs, interest or any fines;
- If the ATO auditor imposes final culpability penalties of 75% or more;
- Failure to produce documentation or furnish information to the Taxation Office or Government agency;
- Cost for work incurred which should have been done prior tot the audit, review or investigation taking place;
- Mass Marketed Schemes without a product ruling;
- Any matter in relation to Child Support of Child Support Agency;
- For any audits of superannuation funds instigated as a result as an unrectified contravention report lodged by an auditor.