Tax Deductions for Tradies : I’m a tradie. Can I claim the course fee that I paid to complete my course as a self-education expense?
According to the Australian Taxation Office (ATO), You may be able to claim a deduction for self-education expenses if your study is work-related. In some circumstances, you have to reduce the amount of your claim by $250.
The ATO set out the criteria for self-education expenses, generally, they are deductible when the course you undertake leads to a formal qualification and meets the following conditions.
The course must have a sufficient connection to your current employment and:
The ATO has various publications on what you can deduct, generally, they list the following expenses which you can claim as a deduction for self-education:
The type and amount of deductions will very much depend on your individual circumstances and the work you do. This will also depend on your work arrangement with your employer i.e. whether you are employed on ABN or TFN. Generally, the following is a list of deductible expenses according to the ATO:
The ATO requires taxpayers to keep source documents as evidence of the expense you paid. These source documents may include tax invoices/receipts of payments or Diary or logbooks for travel.
The ATO will only allow the deduction if you paid for it, however, if your employer paid for it or you received it as part of an allowance or if you paid for it and your employer reimbursed you, you will not be eligible for a deduction.
Achieving a qualification through Qualify Me! is only the start of your journey. Many students have become successful entrepreneurs running their businesses after taking on the free business start-up pack offered by Qualify Me!. To learn more, please visit our Business Start-Up Assistance for Tradies.
Disclaimer: The information contained on this website is general in nature and does not take into account your personal situation. You should consider whether the information is appropriate to your needs, and where appropriate, seek professional advice from your accountant or financial advisor.
Taxation, legal and other matters referred to on this website are of a general nature only and are based on information available to the public on the ATO website at www.ato.gov.au at the time and should not be relied upon in place of appropriate professional advice. Those laws may change from time to time.