| Disclaimer This edited version has been archived due to the length of time since original publication.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: 1013005790426
Date of advice: 4 May 2016
Ruling
Subject: Passport expenditure
Question 1
Are you entitled to a deduction for the expense incurred in obtaining a passport?
Answer
No.
This ruling applies for the following period:
Year ending 30 June 2016
The scheme commences on:
1 July 2015
Relevant facts and circumstances
You are required to travel overseas for your employment.
You are an Australian citizen and you require an Australian passport to enable you to travel overseas.
You have obtained an Australian passport at your own expense and don't undertake any private travel overseas.
Relevant legislative provisions
Income Tax Assessment Act 1997 Section 8-1
Reasons for decision
Section 8-1 of the Income Tax Assessment Act 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.
The expenses associated with acquiring passports relate primarily to the taxpayer's personal right to travel to any overseas destination. They closely parallel the costs associated with obtaining a driver's licence, which were characterised as being of a private nature (Case P55 82 ATC 253; 25 CTBR (NS) 824 Case 117). Thus expenditure in obtaining a passport is private in nature.
In your case, you have incurred expenditure in obtaining a passport to enable to you travel overseas for your employment. The expense in obtaining a passport relates to your personal right to travel to any overseas destination. The expense associated with obtaining your passport, is considered to be private in nature. Therefore, you are not entitled to a deduction.