Can I claim self education expenses?
Monday, January 29th, 2007To claim self education expenses, the course must be to gain a formal education for use in a profession, business or trade as part of your current employment.
- At the time the expense was incurred (tax terminology), there has to be a direct connection between the self education and current work activites that will enable you to maintain or improve the skills or specific knowledge on which your income earning activities are based.
- There is a direct connection between the self education and current work activities because you can show that the study leads to increased income from your current work activities.
- Other circumstances exist where there is a direct connection between your self education and current work activities.
A deduction will not be allowed if the study is to get a new job or open up a new business. This includes studies relating to a particular field you are not currently working in. For example, a hairdresser cannot claim a beautician’s course even if it will get them extra work in their current employment because they are not currently working as a beautican.
Self education expenses cannot be claimed if you receive income received from:
- Youth allowance
- Austudy payments
- ABSTUDY oatnebts
- Assistance for Isolated Children (AIC)
- Veteran’s Children Education Scheme (VCES)
- Similar schemes that provide payments in the nature of assistance.