Education Tax Refund Incentive in Australia

The Australian Government has been providing Incentive to help reduce the cost of education for the growing families. The Education Tax Refund Incentive is major part of this initiative. According to this scheme the individuals and families can claim fifty percent of the child’s education as education expenses while tax calculation. This scheme is helping the individuals and families with many kids to support and educate especially in the single parent situation.

In 2010 the average support for the children in the primary school was $397, while the same for the secondary school has been up to the $794. Similarly each year the amount of the Education Tax Refund is increased to suit the increase in the consumer price index as well. However to claim this refund one needs to have the receipts of all the expenses and purchases related to the education.

The claim process is important part of this Education Tax Refund and this is offered to the eligible families only. The criterion for this is that the children should be attending the primary and secondary education with schooling requirements in accordance to the family tax benefit scheme Similarly the other issues in this is the items which can be considered as the education expenses.

The related educational expenses include all the expenses which might occur in the normal education year. These include the computers, stationery, uniform, books, software, and all the similar expenses that might be required by the school or educational institution. As only the half of the total expense is refunded, the person should keep the bills and receipts of all the expenses for persuasion of the claim.

The educational tax refund can be claimed by various people related to the student including parents, legal guardians, siblings, and even independents students as well. Even if the education tax refund is overall part of the family tax benefits, most of education refunds are given without any restrictions. The Education Tax refund is allowed in most situations without overall family income eligibility calculation at all.

The important part of this claim is that this is only applicable for the early education mainly primary and secondary education. As the receipts serve as the proof of the purchase, they are vital for this claim too. Interestingly there are other similar support incentives for growing families in Australia as well including the Youth Allowance, Student Financial Supplement Scheme, Disability Support Pension, Living Allowance, and Veterans Children Education Scheme too.

by : Chris J Anderson