Draft Taxation Determination
Income tax: if a taxpayer claims a deduction for self education expenses under subsection 51(1) of the Income Tax Assessment Act 1936, is the first $250 spent, but disallowed as a deduction under section 82A, excluded from the substantiation provisions?
Please note that the PDF version is the authorised version of this draft ruling.This document has been finalised by TD 93/97.
FOI status:draft only - for comment
|Draft Taxation Determinations (TDs) present the preliminary, though considered, views of the ATO. Draft TDs may not be relied on; only final TDs are authoritative statements of the ATO.|
3. Even though the taxpayer is not required to substantiate the first $250 of self education expenses, the onus of proof still remains on the taxpayer to show (rather than substantiate) how the first $250 was expended.
Example: A taxpayer spends $1500 in self education expenses. The first $250 is disallowed as a deduction under s82A. If the taxpayer claims $1250 as work related expenses , he/she must be able to substantiate $1250 with the necessary documentary evidence. Whilst there is no requirements to substantiate the first $250, the taxpayer must be able to provide a detailed explanation in regards to this expenditure.
Commissioner of Taxation
4 February 1993