Walker and Commissioner of Taxation (Taxation)

This matter concerned an appeal by Mr Walker against a decision of the Commissioner of Taxation affirming an objection decision. The dispute centred on Mr Walker's claim for work-related expenses, specifically telephone and internet expenses, as allowable deductions against his assessable income. The case was heard by Deputy President I R Molloy of the Administrative Appeals Tribunal.

The primary legal issue before the Tribunal was whether the telephone and internet expenses incurred by Mr Walker were outgoings incurred in the course of deriving his assessable income as a farm worker or supervisor. This required the Tribunal to consider whether Mr Walker qualified as an "itinerant worker" and, if so, whether the expenses were sufficiently connected to his income-producing activities.

The Tribunal found Mr Walker to be an honest witness, despite some minor inaccuracies in his evidence regarding distances and figures. The Tribunal was not satisfied that the telephone and internet expenses were outgoings that could be claimed as deductions. While the evidence indicated these expenses were occasioned by the need to arrange employment, the Tribunal concluded they were not incurred in the course of gaining assessable income. The Tribunal affirmed the objection decision under review.