Educating yourself is so important for all areas of our life. It is vital for our sense of self confidence, well being, our brains and our employability. Processes within technology, software and workplace change so quickly, that if you don’t keep abreast of new skills and current, you’ll rapidly find yourself on the back burner of your career. Even worse, you will find yourself surpassed by a more competent, and better educated version of yourself. Another benefit of self education is that many self-education expenses are tax deductible. Read below to see whether your self education choices can be claimed.
You can claim a deduction for a self-education expense if, at the time you incur the expense, it has a sufficient connection to earning income from your employment activities.
Self-education has a sufficient connection to earning your employment income if it either:
You can't claim a deduction for a self-education expense if, at the time you incur the expense:
Self-education has a sufficient connection to earning your employment income if it either:
- maintains or improves the specific skills or knowledge you require for your current employment activities OR
- results in, or is likely to result in, an increase in your income from your current employment activities.
You can't claim a deduction for a self-education expense if, at the time you incur the expense:
- it doesn't have a sufficient connection to your employment activities
- you are not employed
- it only relates in a general way to your employment activities – such as undertaking a full-time fashion photography course and working as a casual sales assistant on the weekends
- it enables you to get new employment or change employment – such as a nurse completing a Medical degree to become a doctor or a café worker studying Hotel and Hospitality management
See the links below and calculate whether you are able to claim your language course.
https://www.ato.gov.au/individuals-and-families/income-deductions-offsets-and-records/deductions-you-can-claim/education-training-and-seminars/self-education-expenses#ato-Whatareselfeducationexpenses
https://www.ato.gov.au/individuals-and-families/income-deductions-offsets-and-records/deductions-you-can-claim/education-training-and-seminars/self-education-expenses/self-education-reduction-in-expenses
https://www.ato.gov.au/individuals-and-families/income-deductions-offsets-and-records/deductions-you-can-claim/education-training-and-seminars/self-education-expenses#ato-Whatareselfeducationexpenses
https://www.ato.gov.au/individuals-and-families/income-deductions-offsets-and-records/deductions-you-can-claim/education-training-and-seminars/self-education-expenses/self-education-reduction-in-expenses
