Archive for the 'Education' Category
The Federal Court has held that a student taxpayer who received Youth Allowance was entitled to a deduction for the expenses she incurred in pursuing a teaching degree, as she incurred them in the gaining or producing of her assessable income (being the Youth Allowance).
Court rules you can claim tax deductions against Youth Allowance
The Court basically held that, in order for the taxpayer to receive the Youth Allowance, she had to satisfy the requirements set out in the Social Security Act 1991 (i.e., generally to undertake full-time study throughout the relevant period), which required her to spend money (on such things as student administration fees and text books), so those outgoings were incurred in gaining or producing her assessable income.
Here is some general information about education funds from our friend, Amanda Doyle from Professional Investment Services Pty Ltd. Amanda is a qualified financial planner and, with two young children of her own, she knows the importance of good family planning.
Did you know that most private secondary schools in Western Australia charge between $3,000 and $15,000 per year for tuition?
How much will you need to save to pay for your child’s education?
Parents are being advised to ‘keep their receipts’ for education expenses in light of the commencement of the Education Tax Offset from 1 July 2008.
How much can be claimed?
Eligible families (generally parents entitled to Family Tax Benefit (FTB) Part A) will be able to claim a 50% tax offset every year (in their tax return) for key education expenses up to:
$750 for each child undertaking primary studies (i.e., maximum refund of $375 per child, per year); and
$1,500 for each child undertaking secondary studies (i.e., maximum refund of $750 per child, per year).
