Private ruling: Self education expenses
Published: August 2013
Ruling period: Year ended 30 June 2013
Date scheme commenced: 1 July 2012

Ruling: Q1: Are you entitled to claim a deduction for your tuition fees? | A1: Yes.

Relevant facts and circumstances: You are a full-time student at university. You are a full-fee paying student. You incurred expenses in respect of this study. You are in receipt of an assessable scholarship.

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

Reasons for decision: Summary: Section 8-1 of the Income Tax Assessment Act 1997 allows a deduction for all losses and outgoings to the extent to which they are incurred in gaining or producing assessable income except where the outgoings are of a capital, private or domestic nature or relate to the earning of exempt income. Although most self-education expenses are incurred voluntarily, these expenses may be deductible where a student's continuing entitlement to scholarship income is conditional upon enrolment and satisfactory progress in a course of study. In your case, it is accepted that the tuition fees paid by you are necessary expenses incurred for the completion of your course. Accordingly, you are entitled to a deduction for these expenses.