34 – Personal development costs are not tax deductible
Personal development costs are not tax deductible
As a general proposition, personal development costs are not tax deductible for anyone, including financial planners.
This is because these costs are private or domestic in nature, and/or do not have a sufficiently strong connection with assessable income.
So, bad luck, the $5,000 you paid to be revved up by that visiting USA expert who can walk on hot coals is not deductible against your financial planning income! It may have been entertaining and interesting but its got nothing to do with maintaining or increasing your assessable income. Losses and outgoings must be connected to your practice to be deductible.
What else can’t you claim?
The Taxpayers’ Association has created a lists of costs that you cannot claim deductions for. Its worth spending a minute or two running an eye over it and checking that you are not doing anything wrong. It is here: Taxpayers’ Association List.