| Disclaimer This edited version has been archived due to the length of time since original publication. It should not be regarded as indicative of the ATO's current views. The law may have changed since original publication, and views in the edited version may also be affected by subsequent precedents and new approaches to the application of the law. 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 your written advice
Authorisation Number: 1051268932553
Date of advice: 21 August 2017
Ruling
Subject: Self education expenses
Question
Can you claim a deduction for expenses incurred in connection with a self-education course?
Answer
Yes.
Section 8-1 of the Income Tax Assessment Act 1997 (ITAA 1997) allows a deduction for all losses and outgoings to the extent to which they are incurred in gaining or producing assessable income except where the outgoings are of a capital, private or domestic nature, or relate to the earning of exempt income.
It is considered that the study will maintain or improve your skill or knowledge used in your current income earning activity. As a consequence, you have incurred compulsory fees. Consequently you are entitled to a deduction for the course fees incurred, as well as stationery, text books, union fees and allowed travel.
This ruling applies for the following period
Year ended 30 June 2017
The scheme commenced on
1 July 2016
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 currently working as a medical professional.
You are studying a relevant Degree at university, with the aim of becoming a qualified medical professional.
You are currently in the final year of a three year degree.
As you are not currently a permanent resident of Australia, you have paid your university fees upfront.
You also had miscellaneous expenses for travel, stationery, Student Union fees, and text books. The fees are not HECS payment or a student contribution amount.
You are doing this in order to broaden your knowledge and advance your career with the view to promotion and higher salary.
Relevant legislative provisions
Income Tax Assessment Act 1997 Section 8-1 and
Income Tax Assessment Act 1997 Section 82A.
Copyright notice
© Australian Taxation Office for the Commonwealth of Australia
You are free to copy, adapt, modify, transmit and distribute material on this website as you wish (but not in any way that suggests the ATO or the Commonwealth endorses you or any of your services or products).
