Key Takeaways
- COVID-19 tests (RATs and PCRs) are tax-deductible for work use.
- They must be used specifically to determine if you can attend work.
- Apportionment is required if your family also uses them.
- Keep the tax invoice or receipt for all test purchases.
The Short Answer
A Big Yes! The ATO has confirmed that COVID-19 tests, including Rapid Antigen Tests (RATs) and PCR tests, are a legitimate tax deduction for individual Australian taxpayers if they are used specifically for work-related purposes.
Who CAN Claim?
A deduction is only available if there is a direct connection between your job and the test. This includes anyone who is required to test to enter a worksite, travel for work, or attend a professional setting where testing is mandatory or recommended. This includes:
- Frontline healthcare and aged care workers
- Tradespeople and construction workers on large projects
- Teachers and early education staff
- Anyone who needs to test before traveling for a business trip
Apportioning Work vs Private Use
This is a major part of claiming COVID tests. If you buy a pack of 5 RATs and use 3 for work purposes and 2 for private use (e.g., to test before a family gathering), you can only claim a deduction for the 3 work-related tests. Make sure you have a note or record of how you calculated this.
Supporting Evidence 2026
Keep your tax invoice for all test purchases. If you purchase tests in bulk, keep a record of the dates and reasons for each test you used for work. This is essential for being "audit ready" at any time.
The 2026 Audit Ready Tip
Ensure your tax return specifically mentions "COVID-19 Tests" as a work-related expense. If you're an employee, the ATO may verify your claim by checking if testing was a requirement or recommendation for your industry.
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