SELF-EDUCATION EXPENSES
Deductions for self-education expenses can be claimed if, at the time the expense is incurred, it has sufficient connection to earning income from your employment activities.
Sufficient connection occurs if it either:
- maintains or improves the specific skills or knowledge you require for your current employment activities
- results in, or is likely to result in, an increase in your income from your current employment activities
If your self-education expenses meet the eligibility criteria, deductions can be claimed for:
- tuition, course, conference or seminar fees
- general course expenses
- decline in value of depreciating assets
- car and other transport expenses
- accommodation and meal expenses in certain circumstances
- interest on borrowings
It is important that all documentation, such as invoices and receipts, are retained and provided to ensure that the relevant expenses are included; it is possible that some items may not be allowable if they don’t meet the necessary criteria.
There are expenses that cannot be claimed in relation to your self-education such as:
- tuition fees paid by someone else or that your employer or a third-party reimburses you for
- tuition fees paid upfront for Commonwealth supported places at a university or higher education provider
- repayments of study and training support loans e.g. HELP
This is a somewhat complex area for claiming deductions with various scenarios to be considered.
For further information, please contact our office.