(solution) Hayden Murray works as an accountant for the large Brisbane accountancy firm of Garske and Daughters

(solution) Hayden Murray works as an accountant for the large Brisbane accountancy firm of Garske and Daughters

Hayden Murray works as an accountant for the large Brisbane accountancy firm of Garske and Daughters. He works very long hours as the firm is grossly understaffed, and in order to spend some time with his wife and children, he has set up an office at home in their spare bedroom (which is about one-tenth of the area of the home) where he does several hours of work per night after the children have gone to bed.Hayden and his wife own the house, but borrowed the money to purchase it from the Blue Bank. The interest repayments on the loan for the house average $11,000 annually.Hayden and his wife employ a cleaner for $60 each fortnight to clean the house (including the home office).Hayden has a computer and printer in his home office which he purchased on 1 January of the current tax year for $10,000 and which he uses to store file notes and client information relevant to his job.Which one of the following statements is false? Hayden will be able to claim as a deduction part of the electricity that relates to the home office when Hayden uses the home office for work purposes.Hayden will not be able to claim a deduction for part of the rates payment to the Brisbane City Council on the house, as the home office is merely a convenient place for Hayden to do work.Hayden will not be able to claim a deduction for part of the interest payments on the house loan for a home office, as it is merely a convenient place for him to do work.It is possible for Hayden to claim some depreciation (capital allowance) for the home office equipment as a deduction.Hayden will not be able to claim part of house cleaner’s fee as a deduction, as the home office is merely a convenient place for him to do work.