What you need to know about claiming Self-education expenses

self education expenses - what can I claim

Have you undertaken studies at an educational institution, attended conferences/seminars or commenced an online learning program this financial year?
If so, do you know you may be be able to claim self-education expenses in your 2017 tax return?

Self-education expenses may be tax deductible if there is a direct link between your assessable income and the educational activity and satisfies one of the following:
•    The course enables you to maintain or improve the skills or knowledge necessary to carry out your current employment
•    The course leads to, or is likely to lead to, an increase in your income from your current employment activities

You cannot claim a deduction for self-education expenses if the course enables you to:
•    Gain new employment
•    Gain employment in a new field
•    Open new income earning opportunities in the future
These are considered by the ATO to be obtained at a point too soon to earning income.

text booksIf your course is deductible as per above you may be able to claim the following expenses:
•    Course fees
•    Textbooks, professional and trade journals
•    Stationery and postage
•    Travel – flights, motor vehicle kilometers, parking, accommodation & meals
•    Electronic items, office equipment & furniture (items above $300 are subject to depreciation)
•    Telephone & internet
•    Home running expenses
Currently, the ATO requires the first $250 of self-education expenses to be non-deductible if your total expenses consist only of textbooks, stationary, fees and travel. If part of your self-education expenses are for personal or other purposes they must be apportioned to an allowable deduction component.

Expenses you can’t claim
•    Loan repayments such as Hecs-Help, Fee-Help and SFSS
•    Home office occupancy expenses such as electricity, gas & water
•    Meals if you’re not sleeping away from home
•    Certain travel expenses

If your total deductions exceed $300 you must keep written evidence to substantiate your claim.

For more information call Optima Partners at 0862672200 to provide you with tailored advice.

What you need to know about claiming Self-education expenses
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