Who can claim
This deduction is available to individuals and companies.
- The expense is incurred in carrying on an existing income-producing business.
- Any private, capital or non-income-producing component is reasonably apportioned or excluded.
- The expenditure promotes the existing business or its assessable-income activities.
What you cannot claim
- Do not include private drawings or personal expenses.
- Do not treat a capital asset, improvement or acquisition cost as an ordinary operating expense.
- Private sponsorship, entertainment and a capital asset or business acquisition cost are not ordinary advertising deductions.
How the amount is worked out
Claim the deductible business portion, considering prepayment treatment for longer campaigns or subscriptions.
Records the ATO expects
- Supplier invoices
- Campaign records
- Payment evidence
Where this rule comes from
Primary source: ATO business income and deductions (Updated 1 June 2023). Reviewed 30 July 2026. Covers the 2025-26 and 2026-27 income years.