Claiming Education Expenses on Your Tax Return
Education expenses can be claimed as deductions if they are directly related to your current job and enhance your skills or income potential. Here’s a breakdown of what’s eligible and how to claim.
Eligible Education Expenses
Course Fees
- Tuition fees for courses directly related to your current job.
Study Materials
- Textbooks, stationery, and equipment used for your studies.
Travel Costs
- Transport expenses for traveling between your workplace and the place of study.
Home Office Costs
- Internet, phone, and utilities if you study from home.
Depreciation
- Claim the decline in value for work-related tools or equipment over $300.
Conditions for Claiming
- The course must be directly related to your current job.
- It should enhance the skills or knowledge needed for your current role or result in income improvement.
- Expenses related to future or unrelated work are not deductible.
Expenses You Cannot Claim
- Course fees paid by your employer or reimbursed.
- Costs associated with hobbies or general interest courses.
- Travel from home to your place of study unless you work and study on the same day.
Maintaining accurate records is essential for claiming deductions. Keep receipts, travel logs, and other supporting documents. The Cado Tax app simplifies this by tracking and organising expenses.
For a complete guide to work-related deductions, visit our Work-Related Deductions Guide
FAQs
Can I claim education expenses for a course unrelated to my current job?
No, the course must directly relate to your current employment and improve the skills required for your job.
Do I need receipts to claim education expenses?
Yes, receipts and other supporting documents are required to substantiate your claims. The Cado Tax app can help you store and organise these.