As tax time approaches, it is important to know what deductions can be claimed on tax returns. If you are undertaking self-education, you may be able to claim a deduction if it relates to your current work activities as an employee.
When can you claim?
Self-education expenses are deductible when the course you undertake leads to a formal qualification. The course must have a sufficient connection to your current work activities and:
- Maintain or improve the skills or knowledge required in your current work activities
- Result in, or is likely to result in, an increase in your income
You cannot claim a deduction for self-education expenses for a course that does not have a sufficient connection to your current work activities.
You can also claim the following expenses in relation to your self-education:
- Accommodation and meals (if away from home overnight)
- Computer consumables
- Course fees
- Purchase of equipment or technical instruments & repairs
- Home office running costs including internet usage
- Fares & parking fees (only for work-related claims)
- Phone calls, stationery & postage
- Student union fees
- Student services and amenities fees
- Trade, professional, or academic journals
- Travel to-and-from place of education
If an expense is partly for your self-education and partly for other purposes, you can only claim the amount that relates to your self-education as a deduction.
Offering highly personalised and professional services, Pender Accounting Group aims for quality work delivered with integrity - our taxation services are no exception. To discuss your self-education expenses further please contact our office and make a taxation consultation.