Starting your career as an intern is an exciting step, but it also comes with a financial reality – tax will become one of the biggest expenses you face. Established doctors sit among the top 1% of income earners in Australia, so getting your tax position right from the beginning is crucial to any long-term wealth creation strategy. It’s surprising how many young doctors miss out on legitimate deductions early in their careers and end up paying more tax than they need to.

One of the most common questions we hear from new doctors is “What can I actually claim on tax?”

A simple way to cut through the confusion is to ask yourself, “Has this expense genuinely helped me earn my income?”  If the answer’s yes, there may be a case to claim it. If not, it’s likely personal and not deductible.

The Golden Rule

To be deductible, an expense must:

• Directly relate to your work as an intern

• Not be private in nature

• Not be reimbursed or paid by your employer

If it doesn’t meet these criteria, it’s unlikely to be claimable.

What You Can Claim

There are several legitimate deductions available to interns, as long as they are clearly work related:

Work-related uniforms

Scrubs or uniforms required by your hospital, particularly those with a logo or specific workplace requirement.

Self-education and training

Courses, workshops or conferences that directly relate to your current role. These must support your existing duties, not just future career goals.

Work equipment

Items such as stethoscopes, medical tools or minor work purchases.

Professional expenses

Registration fees such as AHPRA, professional memberships and medical indemnity insurance are generally deductible as they are required for your role.

What You Cannot Claim

Don’t get caught out. Some expenses feel work related but are not deductible:

Travel between home and work

Daily commuting costs are considered private, regardless of shift patterns or long hours.

Everyday clothing

Suits, shoes, jackets or boots are not deductible, even if worn only at work.

Meals during shifts

Coffee, lunch or snacks purchased while working are considered personal living expenses.

Reimbursed or packaged expenses

If your employer has reimbursed you or paid the expense through salary packaging, you cannot claim it again.

A Common Trap

Many interns assume that if something is necessary for work, it must be deductible. That’s not always the case.

For example, choosing to work at a different hospital doesn’t make travel deductible and buying meals during a long shift doesn’t make them work related. The ATO draws a clear line between work expenses and personal living costs.

Record Keeping

Even if an expense is deductible, you need to be able to prove it. Keep receipts, maintain clear records and track any work-related use. Good record keeping makes tax time simpler and helps ensure you remain compliant.

Get Advice Early

Your intern year is the ideal time to build good financial habits. With overtime, allowances and sometimes multiple employers, medical income can become complex quickly. Getting your tax right from day one means more money in your pocket and sets the foundation for your financial future as a doctor.

-oOo-

Bongiorno Group

Nic Pereira

Consultant – Doctors in Training Team

As this general advice has been prepared without taking account of your objectives, financial situation or needs, you should consider the appropriateness of this advice before acting on it. If this general advice relates to acquiring a financial product, you should obtain a Product Disclosure Statement before deciding to acquire the product.