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Edited version of private advice
Authorisation Number: 1051898821423
Date of advice: 14 September 2021
Ruling
Subject: Self-education expenses
Question
Are you entitled to a deduction for self-education expense for your university course?
Answer
Yes. 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 periods:
Financial year ending 30 June 20XX
Financial year ending 30 June 20XX
Financial year ending 30 June 20XX
Financial year ending 30 June 20XX
Financial year ending 30 June 20XX
The scheme commences on:
1 July 20XX
Relevant facts and circumstances
In July 20XX you commenced employment with ABC Pty Ltd.
In July 20XX you commenced a university course.
Your intention for undertaking the course is to enhance your skills and knowledge that will assist you in your current role and is likely to lead to promotion and an increase in income. You will be able to work on more difficult issues and initiatives.
The course is directly related to your employment as it will enable you to achieve more responsibility, more pay and more opportunities. You are not undertaking the course to obtain new employment.
Upon completion of your studies, you intend to obtain a higher role when it is next advertised. The role earns an additional 10% above that of the base salary of your current role.
Your employer supports your ambition to undertake the course.
You do not receive Austudy, ABSTUDY or Youth Allowance to study. You do not receive a taxable bonded scholarship. You do not receive an allowance or reimbursement for the expenses incurred in relation to this course.
The course duration is 3 years full time or equivalent part time.
You will incur the following costs relating to the course:
• Annual tuition fee - $XX
• Stationery and text books.
You intend to complete the course by November 20XX.
Relevant legislative provisions
Income Tax Assessment Act 1997 section 8-1