Tax Deductions for Train Drivers (2025–26)

Updated for the 2025–26 income year, with 2026–27 changes noted. Reviewed 19 October 2026.

Train drivers, tram drivers and rail operators can claim compulsory assessments, licence renewals, sun protection and publications. The ATO rejects seat covers, music and meals.

This guide covers 2025–26 tax returns (lodged from July 2026) and flags what changes in 2026–27. It follows the ATO's Train drivers – income and work-related deductions guide, rewritten in plain language with practical examples.

What you can claim

Rail-specific costs

• Compulsory assessments and medicals your current employer requires.
• Licence and accreditation renewals.
• Sunglasses, hats and sunscreen to protect you from the sun while driving.
• Watches with special functions you need for work.
• Industry publications.

Uniforms, protective clothing and laundry

Compulsory uniforms, registered non-compulsory uniforms, occupation-specific clothing and protective clothing are claimable, along with the cost of washing them: the ATO accepts $1 per work-only load and 50c per mixed load. Plain conventional clothing (black pants, a white shirt, business attire) is not claimable, even if your employer requires it.

Overtime meals

You can claim an overtime meal only if you received an overtime meal allowance under an industrial award or agreement and it is included in your income. Without receipts, you can claim up to the ATO's reasonable amount ($38.65 per meal for 2025–26), but you need receipts if you claim more. Meals during normal hours aren't deductible.

Union and professional fees

Union fees and subscriptions to professional or trade associations related to your work are claimable. These don't reduce the 2026–27 standard deduction, so you can claim them on top of it.

What you can't claim

• Seat covers and music.
• Meals during normal shifts.
• Conventional clothing.
• Fines.
• Ordinary bags: the ATO's example of a duffel bag isn't "bulky" equipment that makes home-to-work travel deductible.

Worked example

Example (illustrative figures only – not real client data): Ruby is a train driver. She pays a compulsory medical, buys sunglasses for driving, and launders her uniform.

2026–27 comparison: only $543 of these expenses reduce the standard deduction. On similar figures in 2026–27, it would usually be simpler to accept the automatic $1,000 standard deduction and not claim those items, while still claiming the $600 of union or professional fees on top.

Checklist before you lodge

• Keep letters showing medicals were required by your employer.
• Check your income statement in myGov is marked 'tax ready' and every allowance is included.
• Remove any expense your employer paid for or reimbursed.
• Apportion anything used privately and keep a note of how you worked out the percentage.

Common mistakes to avoid

• Claiming travel because you carry a bag.

Record keeping

• You must have spent the money yourself and not been reimbursed, the expense must be directly related to earning your income, and you need a record to prove it.
• Keep receipts, invoices or bank statements for 5 years from when you lodge. The ATO app's myDeductions tool or photos of receipts are fine.
• If you use something for both work and private purposes, you can only claim the work-related portion – keep a diary or other evidence of how you worked that out.
• 2025–26: if your total work-related claims are $300 or less you don't need written evidence (but must be able to show how you worked the amount out), and laundry claims up to $150 can be made without written evidence using the ATO rates.
• From 2026–27: those $300 and $150 exceptions are removed. A new standard deduction of up to $1,000 applies automatically for eligible employees; if your actual work-related expenses are higher, you can claim them instead with records.

When to see an accountant

Talk to a registered tax agent if:

• you're unsure whether an expense is private or work-related, or your claims are much higher than last year;
• you have an ABN, side business or rental property as well as your job;
• you have received an ATO letter, review or amended assessment.

Related guides

• Bus drivers
• Truck drivers
• all occupation and industry guides

ATO sources for this guide

• ATO: Train drivers – income and work-related deductions
• ATO: Clothing, laundry and dry-cleaning expenses
• ATO myTax 2026: Work-related clothing, laundry and dry-cleaning
• ATO: Overtime meal expenses
• ATO: TD 2025/4 reasonable amounts (2025-26)
• ATO: Union fees and subscriptions
• ATO: Professional memberships and accreditations
• ATO: Records you need to keep
• ATO: Standard deduction for work-related expenses
• ATO: Copyright notice

This guide is written in our own words. It draws on information published by the Australian Taxation Office, and some short phrases are quoted with attribution. Source material: © Australian Taxation Office for the Commonwealth of Australia. Top Accountants is not endorsed by, or affiliated with, the ATO.