What Expenses Can You Claim in NZ? (Full List for Businesses 2026)

Knowing what expenses you can claim in NZ is one of the most effective ways to reduce your tax legally. Many businesses overpay tax simply because they miss eligible deductions or don’t track expenses correctly.

Quick Answer: What Expenses Can You Claim in NZ?

Businesses in New Zealand can claim expenses that are directly related to earning income. This includes operating costs, office expenses, travel, vehicle use, and professional services. To qualify, expenses must be necessary, documented, and business-related. Claiming the right expenses can significantly reduce your taxable income.

Understanding Claimable Expenses in New Zealand

According to Inland Revenue New Zealand, business expenses must be directly connected to generating income. If an expense is partly personal and partly business, only the business portion can be claimed.

This is where many businesses make mistakes—either under-claiming or claiming incorrectly.

Full List of Claimable Business Expenses in NZ

1. Operating Expenses

• Rent for office or workspace
• Utilities (electricity, internet, phone)
• Office supplies and equipment

2. Employee Costs

• Salaries and wages
• KiwiSaver contributions
• Training and development

3. Professional Services

• Accounting fees
• Legal fees
• Consulting services

Working with qualified professionals such as members of Chartered Accountants ANZ ensures your claims are accurate and compliant.

4. Marketing & Advertising

• Social media ads
• Website development
• Branding and design

5. Vehicle & Travel Expenses

• Fuel and maintenance
• Business travel (flights, accommodation)
• Vehicle depreciation

6. Home Office Expenses

• Portion of rent or mortgage interest
• Utilities based on usage
• Internet and workspace costs

7. Depreciation of Assets

• Computers and laptops
• Furniture
• Equipment used for business

What You Cannot Claim

Not all expenses are deductible. Common non-claimable items include:

• Personal expenses
• Fines and penalties
• Private portion of mixed expenses
• Entertainment (partially restricted)

Common Mistakes Businesses Make

1. Not Tracking Expenses Properly

Without proper records, you may miss deductions or face compliance issues.

2. Mixing Personal and Business Costs

This leads to incorrect claims and potential penalties.

3. Under-claiming Expenses

Many businesses play it safe and miss legitimate deductions.

4. Lack of Professional Advice

Without guidance, it’s easy to overlook tax-saving opportunities.

How Claiming Expenses Reduces Tax

Claiming expenses reduces your taxable income. The lower your taxable income, the less tax you pay.

Learn more: How Much Tax NZ

Are You Missing Deductions?

Many businesses that don’t fully understand what expenses they can claim end up overpaying tax.

Check here: Are You Overpaying Tax in NZ

How an Accountant Can Help

A qualified accountant helps:

• Identify all eligible deductions
• Ensure compliance with tax laws
• Improve overall tax efficiency

See potential savings: How Much Tax Can an Accountant Save You

Final Insight

Understanding what expenses you can claim in NZ is not just about compliance—it’s about strategy. Businesses that track, review, and optimise their expenses consistently are more likely to reduce tax and improve profitability.

People Also Ask

What expenses can I claim as a business in NZ?

You can claim expenses directly related to earning income, including operating costs, travel, and professional services.

Can I claim home office expenses in NZ?

Yes, if you use part of your home for business, you can claim a portion of costs.

What happens if I claim incorrectly?

You may face penalties or audits from Inland Revenue.

Frequently Asked Questions

Do I need receipts for all expenses?

Yes, keeping records is essential for compliance.

Can I claim vehicle expenses?

Yes, but only the business portion is deductible.