You can claim self-education expenses on your tax return in Australia if the study is directly related to your current job and helps you keep or improve the skills you already use, or if it could help you earn more money in that same job.
The Australian Taxation Office (ATO) has strict rules to make sure only work-related self-education costs are claimed as tax deductions. These rules make a clear line between education that helps you earn income and courses for personal growth or changing careers. If your course helps with your current job duties, the costs might lower your taxable income. But if the study is for a new job, the costs can’t be claimed.
A lot of people don’t claim enough because they aren’t sure what counts, while some claim too much by including costs that aren’t allowed. Both can mean missing out on deductions or getting changes from the ATO.
At ISM Accountants, professional tax accountants in Perth, we help clients claim self-education expenses on their tax returns the right way. We follow ATO rules, case law, and practical tax thinking so claims are as big as they can be, legal, and safe.
The ATO’s Core Test: Why “Direct Connection” Matters?
The ATO lets you claim self-education expenses as a tax deduction only if there’s a clear link between your study and the work you do now.
This rule is to separate:
- Work-related education, which helps you in your current job, from
- Personal or future education, which the ATO doesn’t let you claim as a deduction.
To meet this rule, your study must either:
- Keep or improve the skills and knowledge you already use in your job, or
- Be likely to help you earn more money in your current job or business.
If you can’t clearly show this connection, you can’t claim the expense.
Recommended Read: How To Do Your Own Tax Return Online in Australia?
When Are Education Expenses Tax Deductible in Australia?
Education expenses can be claimed as a tax deduction in Australia only if the study directly helps you in your current job. If the education is to get a new job or change careers, you can’t claim it.
The Australian Taxation Office (ATO) allows self-education expenses on tax returns only when there’s a clear and immediate link between the study and your current work. This means the education must help you earn money now, not in the future.
You can usually claim work-related self-education expenses if:
- You have a job or run a business when you pay for the expense
- The study is directly related to what you do in your current job
- You pay for it yourself, and your employer or someone else hasn’t reimbursed you
These rules make sure that only education that helps you earn income now counts as a tax deduction.
Work-Related Self-Education Expenses: Who Is Eligible?
You can claim work-related self-education expenses if the study directly helps your current job or business and is done to keep or improve the skills you already use, or to help you earn more in your current role.
The Australian Taxation Office (ATO) checks eligibility based on your current work, not what you might do in the future. The main question the ATO asks is whether the study helps you do your job better right now.
You can usually claim self-education expenses on your tax return if one or more of these apply:
- The course keeps or improves the skills needed for your current job
- The course is likely to help you earn more money in your current job
- You’re a trainee, and the course is officially part of your traineeship
This way, only real work-related education costs can be claimed as a self-education tax deduction.
Recommended Read: Three Ways to Get Financially Fit
What Self-Education Expenses Can You Claim?
If your course or training is directly related to your current job, the ATO lets you claim different self-education expenses on your tax return. These usually include:
- Course and Tuition Fees: You can claim fees paid to universities, TAFE, or other approved training providers, as long as you paid them yourself and your employer or someone else didn’t reimburse you.
- Study Materials and Equipment: Costs for things you need for your studies can usually be claimed, like textbooks, stationery, professional journals, and items you use up, like printer ink and paper.
- Home Study Costs: If you study at home, you might be able to claim part of your running costs. This can include internet, phone calls, and some expenses for a room set up just for studying.
- Travel Expenses: You can claim travel costs when going between your home and your study place, or between your workplace and your study place. The trips must be directly for your eligible course.
- Accommodation and Meals: You can only claim accommodation and meal costs if your course requires you to stay overnight away from home, like for block release or intensive study sessions.
These expenses make up most of the real self-education deductions claimed in Australia.
Recommended Read: Best Accountant for Work Cloth Laundry Tax
Can PD Expenses Be Claimed on a Tax Return?
Yes, PD expenses can be claimed on a tax return in Australia if the professional development is directly related to your current job and is done to keep or improve the skills you use in that role.
Professional development (PD) expenses are usually deductible because they help you earn money in your current job, which matches ATO rules for claiming self-education expenses on tax returns.
PD expenses can usually be claimed when they:
- Keep your professional skills and knowledge up to date
- Help you meet licensing, registration, or professional body requirements
- Improve your performance or ability in your current job
Since PD is about improving your current job rather than getting ready for a new career, it usually counts as a self-education tax deduction, as long as you paid for it yourself and your employer didn’t reimburse you.
If the PD is done to help you move to a different job or industry, the cost can’t be claimed under ATO rules.
Recommended Read: How to Change Your Business Structure?
Can I Claim Uni Fees on Tax?
Yes, you can claim university fees on tax in Australia only if the course is directly related to your current job and is done to keep or improve the skills you already use.
The Australian Taxation Office (ATO) looks at why you are studying, not the school or level of qualification. This means the main thing is the purpose of the study, not where you study.
University fees can be claimed as self-education expenses on your tax return if:
- The course is directly related to your current job duties
- The study improves or updates skills you already use in your job
You cannot claim:
- HECS-HELP or HELP loan repayments
- University fees for courses that get you ready for a new job or career change
Fees paid through FEE-HELP or VET Student Loans may only be claimed if the course isn’t a Commonwealth Supported Place and meets all ATO rules.
Claiming university fees the wrong way is a common reason the ATO reviews tax returns, so it’s a good idea to get professional advice before including them.
Can You Claim a Laptop on Your Taxes for Study in Australia?
In Australia, you can only claim a laptop on your tax return if your study is connected to your current job. The ATO lets you do this if the course helps you keep or improve skills for your job, or could help you make more money in that job.
If the laptop costs $300 or less, you can usually claim the full price in that year. If it costs more than $300, you have to claim it bit by bit over a few years. That’s called depreciation.
You can only claim the part you use for work. For example, if you use the laptop 70% for studying for your job and 30% for personal stuff like games or Netflix, you can only claim 70% of the cost.
You cannot claim a laptop if:
- You’re studying to get a new job or change careers
- The study isn’t related to your current job
- You only use the laptop for personal stuff
To claim it, keep your receipts, write down how you use the laptop, and have proof that your study is linked to your job.
What You Cannot Claim (and Why the ATO Disallows It)
Some expenses can’t be claimed because they are personal, already paid back to you, or considered capital. These include:
- HELP, HECS-HELP, and VET Student Loan repayments
- Any education costs your employer or someone else has already paid
- Home costs like rent, mortgage interest, or council rates
- Private travel or commuting costs, even if you stop at a place of study on the way
Knowing these exclusions helps you avoid claiming self-education expenses the wrong way and lowers the risk of ATO penalties.
Recommended Read: Various Ways to Increase Your Tax Refund
The $250 Rule: What Changed and Why It Matters?
For expenses before 1 July 2022, the ATO had a rule that the first $250 of self-education expenses usually couldn’t be claimed.
But starting from the 2022–23 tax year, this $250 reduction was removed. This means you can now claim all eligible self-education expenses, as long as you meet the other ATO rules.
This change is important because it affects how self-education expenses are calculated on tax returns now and can make your total deduction bigger.
Why Perth Taxpayers Choose ISM Accountants?
Claiming self-education expenses isn’t just about listing your course fees. At ISM Accountants, we follow ATO rules to make sure your claims are eligible, calculated correctly, fully legal, and as big as possible without extra risk.
Our Perth tax accountants check course fees, home study costs, travel expenses, and equipment depreciation to help employees, professionals, and students get the maximum deductions safely.
Self-education deductions can really help your tax return when claimed the right way. ISM Accountants give personal tax support using strong ATO knowledge and local Perth experience.
Our services include:
- New Business Registration
- Business Services
- Bookkeeping Services
- Tax Return Services
- Payroll Management Services
- Loan Management Services
If you’re not sure which self-education expenses you can claim, or want to make sure your tax return is done right the first time, talk to ISM Accountants in Perth today and let our experts take care of it confidently.
FAQs On Claiming Self Education Expenses In Tax Return
You can claim the full amount of eligible self-education expenses that directly relate to your current job and are not reimbursed, including course fees, materials, travel, and home study costs. Depreciation rules apply for equipment costing over $300.
Tax-deductible expenses include: course and tuition fees, textbooks, stationery, professional journals, home internet and phone costs, study room expenses, travel between home/work and your place of study, accommodation and meals for overnight study, and depreciation on work-related equipment.
Yes, if the study directly supports your current employment and helps maintain or improve your skills. Expenses for courses aimed at a new job or career are not deductible.
Yes, antivirus software is tax deductible if it is used on a device that is necessary for your work or business. The deduction should correspond to the percentage of work-related use of the device. Keeping records of your software purchase and usage is advisable.
The Education Tax Refund was a government program in Australia that provided financial assistance to eligible families for education-related expenses. However, it was replaced by the Schoolkids Bonus, which has since been discontinued. Currently, eligible education expenses may be claimed under different tax deductions or government programs.
A tax refund in Australia occurs when the amount of tax you’ve paid throughout the year exceeds your tax liability. After filing your tax return, the Australian Taxation Office (ATO) calculates whether you’ve paid too much tax, and if so, the excess amount is refunded to you. Tax refunds may also result from claiming deductions and offsets that reduce your taxable income.
No, there is no income limit. The key requirement is that the study must be directly related to your current income-earning activities.
You can deduct all eligible self-education expenses that directly relate to your current role and meet ATO requirements, including course fees, materials, travel, home study costs, and equipment depreciation.
