Private ruling: Self-education expenses
Date of advice: 29 June 2018
Published: September 2018
Ruling period: 1 July 2017 to 30 June 2023
Date scheme commenced: 1 February 2018

Ruling: Q1: Are you entitled to claim a deduction for your self-education expenses? | A1: Yes It is accepted that the Masters Degree course will maintain or enhance the skills that are required in the performance of your current role. Consequently, the self-education expenses incurred have the necessary and relevant connection with the earning of your assessable income. You are entitled to a deduction under section 8-1 of the Income Tax Assessment Act 1997 (ITAA 1997) for self-education expenses.

Relevant facts and circumstances: You are employed full time as an engineer for a company. Your role includes co-ordinating and providing leadership and direction to other engineers and sub-contractors on site during the execution of specific scopes. Subjects offered through the course include; ● accounting and financial management ● economics for managers ● applied business research and ethics ● leading organisational change ● managing organisational behaviour ● team leadership ● strategic leadership ● strategic management ● global information systems strategy. You advised the benefits of undertaking the course will assist in improving your leadership style and provide strategic ways of managing on site. You will be working full-time while undertaking part-time study. Your employer has offered to financially contribute towards the course per year and has offered study leave assistance. Your employer sees value in undertaking this course, as it will assist you in your current job and for your future career development within their organisation. It is expected that the course will be completed in four years.

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