Are you entitled to a deduction for the self-education expenses under section 8-1 of the Income Tax Assessment Act 1997 (ITAA 1997) for the costs of undertaking a Master of XXXX course at XXXX University?
Yes. Your self-education expenses are deductible under section 8-1 of the ITAA 1997. The expenses you incur to complete the XXXX course will allow you to improve the knowledge and skills required to carry out your current income-earning activities and are likely to lead to an increase in income from your employment. The course has the relevant connection to your income earning activities, and did not enable you to get employment, to obtain new employment or to open up a new income-earning activity. To claim a deduction for these self-education expenses, you must have spent the money yourself and weren't reimbursed. Further information about self-education expenses can be found in Taxation Ruling TR 2024/3 Income tax: deductibility of self-education expenses incurred by an individual. This ruling is binding on the basis that you remain employed in your current role as XXXX while completing the course. Should your role change, you will need to consider applying for a new private ruling This ruling applies for the following periods : DD MM YY The scheme commenced on: DD MM YY
On DD MM YY, you commenced employment with XXXX in Role A. On DD MM YY, you transitioned into Role B with same employer. On DD MM YY, you commenced a Master of XXXX course at XX University. You will complete the course part time. You are able to access study leave to undertake tertiary studies at an educational institution. The course was undertaken to improve skills in your current role with XXXX. The course is not intended to facilitate a career change, but to enhance your current capabilities and performance in this role. You selected the XXXX course specifically because XX University allows students to customise their curriculum by selecting units across multiple specialties, which are directly related to your current responsibilities. This tailored approach is more suitable than a narrowly focused degree such as a Master of XXXX, as it allows you to build a broader skill set aligned with the diverse demands of your role. Your employer supported your aim to complete the XX course. On DD MM YY, your employer provided a letter of support.
The total cost of the course is approximately $XX. You are paying for the course fees using the Higher Education Loan Program (HELP). You will also incur other fees of about $XX, associated with the course. You are not receiving any government allowance to study (including Abstudy, Austudy or Youth Allowance). You are not receiving a taxable bonded scholarship. Your estimated course completion date is DD MM YY.
Income Tax Assessment Act 1997 section 8-1