Private ruling: Deductibility of self-education expenses
Date of advice: 23 January 2019
Published: May 2019
Ruling period: Year ending 30 June 2019
Date scheme commenced: 1 July 2018

Ruling: Q1: Are your self-education expenses deductible? | A1: Yes. Your self-education expenses are deductible, as it is accepted the study meets the requirements detailed in Taxation Ruling TR 98/9. Further information about self-education expenses can be found by searching 'QC 31970' on ato.gov.au

Relevant facts and circumstances: You are currently employed by as a pilot on an aircraft. You operate exclusively on long haul, passenger flights. Your duties as a pilot are: ● Monitoring the Primary Flight Crew during take-off and landing phases; ● Providing relief for the Primary Flight Crew in control seats during the cruise phase when autopilot is engaged; ● System monitoring; ● Communication with Air Traffic Control; and ● Responding to non-normal events and emergencies. Your current role does not provide you any hands on practise of manipulation of the flight controls in a real aircraft. You are required to maintain hands on flying skills for your current role. You want to progress to a more advanced and higher paying role as a pilot. This requires retention and improvement of your flying skills. Your employer conducts a Cyclic Proficiency Check (CPC) examination every six months. In this examination, your employer assesses you against set standards of operational performance. Your employer provides two hours of flight simulator time every two months to assist in the retention of your flying skills. Your employer strongly recommends you partake in private flying and hire a light aircraft on a regular basis to practice manual flying skills both alone and under instruction from a qualified flight instructor. You estimate you will undertake approximately 36 hours of private flying per year. You will incur these costs yourself. You will also incur additional costs to cover equipment, charts and flight documents not provided by your employer.

Relevant legislative provisions: Income Tax Assessment Act 1997 Section 8-1