Tax Deductibility

Union and professional association fees are tax-deductible under section 8-1 of the Income Tax Assessment Act 1997, as expenses incurred in gaining or producing assessable income. This includes: annual UAW membership dues; any levies or special contributions; and fees for other professional associations related to our work (such as the Australian Institute of Architects). The deduction is claimed in the tax return for the financial year in which the fees were paid. There is no cap on the amount that can be claimed for union dues, but the fees must relate to our income-earning activities.

When completing our tax return (either through myTax or a registered tax agent), union fees are claimed under “Other work-related deductions” in the section for “Union and professional association fees.” We’ll need: the name of the union or association; the amount paid during the financial year; and a receipt or statement confirming payment. UAW provides an annual membership statement each July confirming total fees paid during the previous financial year. This statement is accepted by the Australian Taxation Office as sufficient evidence for the deduction.

The ATO requires that we keep records of all deductions claimed for five years from the date of lodging our tax return. For union dues, this means keeping: the membership receipt or payment confirmation; the annual membership statement from UAW; and bank or credit card statements showing the payment. Digital records are perfectly acceptable, a screenshot or saved email is sufficient. If we pay by direct debit, the transaction history in our banking app, combined with our UAW membership statement, is all the evidence needed.