Disclaimer
You cannot rely on this record in your tax affairs. It is not binding and provides you with no protection (including from any underpaid tax, penalty or interest). In addition, this record is not an authority for the purposes of establishing a reasonably arguable position for you to apply to your own circumstances. For more information on the status of edited versions of private advice and reasons we publish them, see PS LA 2008/4.

Edited version of private advice

Authorisation Number: 1051565772426

Date of advice: 14 August 2019

Ruling

Subject: Income tax - self-education expenses

Question

Are you entitled to a deduction for self-education expenses?

Answer

Yes. Your self-education expenses are deductible as it is accepted the study meets the requirements detailed in Taxation Ruling TR 98/9. Obtaining a loan for all or part of the fees for the course under FEE-HELP does not preclude you from claiming a deduction for the expenses incurred in relation to the course.

Further information about self-education expenses can be found by searching 'QC 31970' on ato.gov.au. You can also refer to ATO ID 2005/26 Income Tax Deductions: self- education - course fees paid from FEE-HELP loan funds

This ruling applies for the following period:

Financial year ending 30 June 20XX

The scheme commences on:

1 July 20XX

Relevant facts and circumstances

This ruling is based on the facts stated in the description of the scheme that is set out below. If your circumstances are materially different from these facts, this ruling has no effect and you cannot rely on it. The fact sheet has more information about relying on your private ruling.

You are an employee who works full time as a Manager at XYZ.

You commenced work there in 20XX.

You will enrol in a Masters in Business Administration (MBA) course.

You will study part time while working full time at XYZ.

Your intention for undertaking the course is to enhance your skills and knowledge that would assist you in your current role at XYZ. You also believe that the course will likely result in a promotion or an increase in your income from your current work activities.

The cost of the course will be self-funded and by using FEE-HELP.

You received a letter from your employer which provided information on the relevance between the self-education (MBA) and the nature of your work you undertake within the organisation. The letter also states the course will help build your senior management skill set.

Relevant legislative provisions

Income Tax Assessment Act 1997 section 8-1

Taxation Ruling TR 98/9