Study expense changes for students receiving Austudy, ABSTUDY and Youth Allowance

Students on Austudy, ABSTUDY and Youth Allowance can now claim a deduction for their study expenses. This change is a consequence of a High Court decision on 11 November 2010.

The expense changes have been extended to allow for eligible recipients of Austudy and ABSTUDY to claim deductions for their study expenses. Recipients of Austudy and ABSTUDY must meet the same eligibility requirements as Youth Allowance recipients to be eligible for the deduction.

Are you eligible?

You are eligible for a deduction for each year you lodged a tax return if:

• you received Austudy, ABSTUDY or Youth Allowance to study and included the allowance as income in your tax return
• you incurred study expenses, and
• you did not claim a deduction for these expenses.

Youth Allowance paid to 16-20 year olds when they are looking for work or undertaking approved employment-related activities is not included.