| Disclaimer This edited version has been archived due to the length of time since original publication.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: 5010048848624
Date of advice: 14 March 2018
Ruling
Subject: Self-Education Expenses
Question
Are you entitled to claim a deduction for your self-education expenses including course fees, airfares, accommodation and meals to complete your Business Administration course?
Answer:
Yes
You have demonstrated that the course of education has a nexus to your current employment. You require these skills in your present position and the course will further develop your skills in the areas of project managing and lead to an increase in future income in your present position.
As you have met the requirements for eligibility for a deduction of self-education expenses, you are entitled to claim a deduction for the amount you have incurred. These expenses include airfares, accommodation and meals as outlined in TR 98/9 and section 8-1 of the ITAA 1997.
Documentation satisfying the requirements of section 900-15 or 900-120 of the ITAA 1997 is required to substantiate the expenses included in these claims and apportioned appropriately.
This ruling applies for the following period
Year ending 30 June 2020
The scheme commenced on
1 July 2017
Relevant facts
You are employed full time as a project manager for a company. Your role includes:
● Provide professional expertise to contribute to all stages of the development and delivery of complex or difficult major infrastructure projects to time, cost and quality requirements, including the development of scope and assessment of feasibility and options.
● Drive project delivery framework that ensures projects are delivered to best practice, contract and asset management standards, in compliance with planning and environmental approvals, on a commercially sound basis and to the satisfaction of the key stakeholders and the community.
● Ensure effective tendering and management of works contracts, monitoring and reporting of contractor progress and effectively negotiating, as required.
● Ensure that the management of safety is paramount and implements sector best practice processes and procedures.
● Use professional knowledge and experience to proactively identify and provide considered advice and recommendations to senior management on issues arising from and impacting the project, including the identification and mitigation of project risks.
● Build strong relationships and competently collaborate and negotiate with the stakeholders, including project team members, contractors, consultants and multiple government and statutory bodies to ensure work is prioritised and delivered in accordance with the designated scope.
● You have enrolled as a student in a Business Administration course
Subjects offered through the Course includes:
● Leadership/Social Responsibility and Ethics
● Data Analysis & Financial Accounting
● Managerial Economics & Managing people
● Marketing & Financial Management
● Business Strategy
● Global Business economics & Operations
The part-time course is to be completed over 18 months and consists of 17 x4 day weekend residential modules and one week long overseas module.
The overseas study is part of the endorsed study program with the X Business School.
The overseas study will be a combination of university classroom study and company visits.
Whilst at overseas University, you will incur accommodation, food and personal expenses.
Your employer is reimbursing you 60% of the fees towards your course of study. You have financed the remaining amount by redrawing on your mortgage.
Relevant legislative provisions
Income Tax Assessment Act 1997 Section 8-1
Income Tax Assessment Act 1997 Section 26-20
Income Tax Assessment Act 1997 Section 900-115
Income Tax Assessment Act 1997 Section 900-120
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).
