Health-conscious Aussies should be able to claim back some of the cost of a gym membership as a tax deduction, according to a recommendation from a peak body.
With data suggesting that 36 percent of diseases could be improved through increased physical activity, fitness body AUSactive has made a pre-budget submission calling for changes to the fringe benefits tax legislation.
Currently, a tax deduction is only available for professions that require a high level of fitness, but AUSactive believes this should be expanded to include all Australians.
This would mean that gym memberships and activities like pilates, yoga, and tai chi could qualify for a deduction come tax time.
AUSactive chief Barrie Elvish described the policy as a “no-brainer.”
“Given the government already uses the tax system … to encourage Australians to take out private health insurance to reduce demand on the state hospital system, why not also use the tax system to keep Australians out of the healthcare system?” he said.
“Making gym memberships tax-deductible will relieve cost-of-living pressures for people who are proactively endeavoring to look after their health and will encourage people to engage in regular exercise, contributing to a healthier and more productive population.”
Mr. Barrie said exercise in gyms, pilates, yoga studios, and leisure centers is currently categorized as entertainment.
“Comparing bending an elbow in a pub to bending an elbow with a barbell in a gym is ludicrous,” he said.
“It’s absurd and ironic that a taxpayer can claim a deduction for donations to health-related not-for-profit organizations but not to proactively improve their own health.”
The chief executive said that if tax deductions were implemented, it would reduce the $27 billion spent in the health system treating diseases caused by inactivity, as well as encouraging more employees to return to offices.
The budget is expected to be announced on May 14.
