Finance and tax

Election expenses

Eligible costs of contesting an election for the Commonwealth, a state, the ACT or NT parliament, or an Australian local governing body.

Who can claim

This deduction is available to individuals.

  • You were a candidate for the Commonwealth Parliament, a state parliament, the Legislative Assembly of the ACT or NT, or an Australian local governing body.
  • The expense was incurred in contesting that election and falls within the statutory election-expense rules.

What you cannot claim

  • General political donations and party membership are not election expenses under this rule.
  • Preselection costs and costs of seeking party endorsement are not expenses of contesting the election itself.
  • Entertainment and campaign hospitality are not automatically deductible and must satisfy the specific election-expense rule.
  • Private and non-candidate expenditure is excluded.
  • A recoupment is not automatically subtracted from the expense. Test whether it is assessable under Subdivision 20-A or another income provision.

How the amount is worked out

For a parliamentary election, claim the eligible expense incurred; a recoupment can be assessable income separately under Subdivision 20-A. For a local governing body election, the initial deduction is capped at $1,000 for each election. If a recoupment is later included in assessable income, section 25-65 can permit a further deduction by disregarding that assessed recoupment when applying the cap.

Records the ATO expects

  • Candidate nomination
  • Election expense invoices
  • Payment records
  • Reimbursement details

Where this rule comes from

Primary source: Income Tax Assessment Act 1997 sections 25-60 to 25-70 (Sections 25-60, 25-65 and 25-70). Reviewed 30 July 2026. Covers the 2025-26 and 2026-27 income years.

Supporting sources:

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