Private ruling: Self-education expenses
Date of advice: 17 July 2020
Published: August 2020
Ruling period: Year ended 30 June 2020
Date scheme commenced: 1 July 2019

Ruling: Q1: Are you entitled to a deduction for self-education expenses incurred in undertaking an Executive Master of Business Administration (EMBA)? | A1: Yes.Your self-education expenses are deductible as it is accepted that the study meets the requirements detailed inTaxation Ruling TR 98/9 Income tax: deductibility of self-education expenses incurred by an employee or a person in business. Additional information It should be noted that the self-education expenses you can deduct may be subject to a reduction of up to $250 in accordance with section 82A of the Income Tax Assessment Act 1936 . For more information about self-education expenses including how to work out your deduction, search for QC 31970 at ato.gov.au

Relevant facts and circumstances: You were employed full time as a manager at XYZ. You acted as a director at XYZ for a period. You enrolled in an EMBA with a business school. You paid expenses for the EMBA course. Your employer did not reimburse any of your expenses; however, supported your enrolment because the course is considered so useful in your role(s) and provided you with flexible working arrangements and a corporate nomination to enrol in the course. You use specific knowledge and skills in your employment roles with XYZ. The course improved the skills and knowledge used in your employment.

Relevant legislative provisions: Income Tax Assessment Act 1936 section 82A | Income Tax Assessment Act 1997 section 8-1