Edited version of private advice

Authorisation Number: 1051774930525

Date of advice: 18 December 2020

Ruling

Subject: Work related expenses - self- education

Question

Is the deposit amount of XX you paid for your self-education expenses deductible?

Answer

Yes. The money that you paid for your self-education expenses are deductible as it is accepted the study meets the requirements detailed in Taxation Ruling TR 98/9. Further information about self-education expenses can be found by searching 'QC 31970' on ato.gov.au

This ruling applies for the following period:

Year ending 30 June 20XX

The scheme commences on:

1 July 20XX

Relevant facts and circumstances

You are a Project Engineer with X years' experience working in the construction industry across areas such as construction, bulk earthworks, community water systems, concrete structures, pavements, drainage and building services.

In your role, you provide the management and engineering control for major construction projects in Australia. These projects are often multi-disciplinary and require not only sound technical ability but also strong leadership and project management skills.

You are currently based in City A working as a Project Engineer.

The primary purpose of your current position is to co-ordinate on-site construction activities to achieve project time and budget objectives.

Your key accountabilities include:

•         Co-ordinate and administer construction engineering activities to ensure that projects are implemented in accordance with plans, designs and specifications.

•         Assist with the preparation of site construction budgets and reports

•         Monitor construction progress for adherence to programme and report to the Site Manager or Project Manager

•         Interpret designs for implementation in construction projects

•         Contribute to improvements to existing designs

•         Arrange and oversee the letting of tenders

•         Demonstrate financial management skills and commercial acumen when making decisions

•         Assign work and assist with reviews for accuracy and adherence to required standards

•         Execute working knowledge of contractual and legislation relevant to the project

•         Undertake quantitative and qualitative safety, environment and quality risk assessment to ensure acceptable quality of completed works

•         Analyse and use document and record management systems, provide weekly progress and performance reporting

•         Demonstrate sound people management skills by managing work and performance of subcontractors to achieve project outcomes

•         Utilise effective time management skills including sequencing of work of own and resource time management

•         Perform all duties in accordance with policies, systems, and procedures.

On XX October 20XX you were notified of your admittance to the MBA Class of 20XX at a business school.

You made an initial deposit to reserve your place in the program. You are funding the cost of the study without any government subsidy or employer reimbursement.

You will begin as a full time student, graduating 21 months later.

You will leave Australia and your current employer to undertake the study and plan to return to Australia upon completion.

The first year of the MBA will consist of three terms and 24 course topics including:

You will complete a Summer Internship at the end of year one.

The second year will involve completing a number of electives. You will choose electives under the section headings of Accounting and Control, Business Ethics, and Managing People in Organisations.

Relevant legislative provisions

Income Tax Assessment Act 1997 section 8-1