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Claiming cost of study required to up-skill for promotion?

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Newbie

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Hi, 

I work in pre-hospital healthcare (Ambulance) and am currently qualified at a Certificate IV level. I am employed using this qualification, and have been for the last 3 tax years. The next 'rank' in my employment requires me to be at either Diploma level or Degree level. I have opted for the degree as it qualifies me for both government and private work. The degree description specifies that it is a qualification able to be used directly in my employment. 

I could have opted to train at my employer who is also an RTO, but this would only have been to Diploma level and would limit my future employment opportunities and earning potential. 


I am 6 months into the degree, and working casually around my contact hours at uni. My uni course has many additional costs aside from the course itself, including immunizations and serology, textbooks, uniforms. In addition, I have had to purchase a laptop and set up a study area, I print a lot and commute to uni. 

In preparation for tax, should I be claiming any expenses relating to this training? I am currently using HECS.

Regards

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Devotee

Replies 1

The first Question is, is there a direct nexus between your course and your current employment?

 

The course must have a sufficient connection to your current work activities as an employee and:

  • maintain or improve the specific skills or knowledge you require in your current work activities
  • result in, or is likely to result in, an increase in your income from your current work activities.

You can't claim a deduction for self-education expenses for a course that doesn't have a sufficient connection to your current work activities even though it:

  • might be generally related to it
  • enables you to get new employment – such as moving employment as a nurse to employment as a doctor.

If the answer is yes it is connected and no I won't be moving to new employment then you should be able to claim self-eduction related expenses as per https://www.ato.gov.au/individuals/income-and-deductions/deductions-you-can-claim/self-education-exp...

2 REPLIES 2

Best answer

Devotee

Replies 1

The first Question is, is there a direct nexus between your course and your current employment?

 

The course must have a sufficient connection to your current work activities as an employee and:

  • maintain or improve the specific skills or knowledge you require in your current work activities
  • result in, or is likely to result in, an increase in your income from your current work activities.

You can't claim a deduction for self-education expenses for a course that doesn't have a sufficient connection to your current work activities even though it:

  • might be generally related to it
  • enables you to get new employment – such as moving employment as a nurse to employment as a doctor.

If the answer is yes it is connected and no I won't be moving to new employment then you should be able to claim self-eduction related expenses as per https://www.ato.gov.au/individuals/income-and-deductions/deductions-you-can-claim/self-education-exp...

Newbie

Replies 0

Yes, it is directly related, to the extent that I must complete an unpaid placement in the same role as I am currently employed. 

The course does enable me to switch employers, but that is much further down the track. 

Thanks for the clarification! 

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