Financial Counselling Fees – What Can I Claim?
You may be able to salary package eligible financial counselling or advice fees if this benefit is offered by your employer, when the advice relates to gaining or producing income from investments and the fees were charged by a registered financial adviser or accountant.
What you can claim
- Eligible professional fees charged by a financial adviser or accountant for advice about managing your existing income-producing investments
- Advice fees that relate to gaining or producing income from investments
- Eligible ongoing management fees or retainers where they relate to income-producing investments
- The portion of the fees that relate to managing your tax affairs, such as advice on how tax laws apply to your personal circumstances.
- The cost of advice where the invoice clearly shows the advice provided and the fees charged
What you can't claim
- Initial advice on a proposed investment
- Fees for setting up or drawing up a new investment plan where the cost is not incurred in gaining or producing assessable income
- Charges for anything other than the provision of eligible financial advice
- Advice fees that relate to investments that do not produce assessable income, unless only the eligible portion is claimed
- Advice fees paid from superannuation fund
Documentation Requirements
What documents do I need?
You’ll need documentation from the adviser or accountant showing the financial advice fees charged and the type of advice provided. The documentation should make it clear that the advice relates to gaining or producing income from investments.
What proof of payment can I provide?
Proof of payment may be required if the invoice or receipt does not show that the amount has been paid in full. This may include a receipt, bank statement or other payment evidence.
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Examples
Can I claim advice about managing my income-producing investments?
Emily paid for financial advice relating to investments that generate assessable income. Advice fees associated with managing income-producing investments may be an eligible expense, so Emily can submit a claim as long as she provides a copy of the tax invoice with details of the advice provided, along with proof of payment.*
Can I claim the cost of setting up an investment plan?
Liam paid a financial adviser to develop and establish a new investment plan. Fees for setting up or drawing up a new investment plan are generally not incurred in the course of gaining or producing assessable income, so Liam cannot submit a claim for this expense.*
Can I claim an ongoing investment management fee?
Noah pays an ongoing fee to a financial adviser for managing his income-producing investments. Ongoing investment management fees relating to income-producing investments may be an eligible expense, so Noah can submit a claim as long as he provides a copy of the tax invoice with details of advice provided, along with proof of payment. If part of the fee relates to non-income-producing matters, only the eligible portion may be claimable.*