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Query on claiming costs for share course - Share Market College

Discussion in 'Accounting, Tax & Legal' started by jmll, 13th Mar, 2009.

  1. jmll

    jmll New Member

    13th Mar, 2009
    Brisbane, QLD
    I have been dabbling with shares for a few years now, at the beginning of 2008 I signed up for a course with the Share Market College (SMC).

    The course that I signed up for included daily seminars and access to a share trading platform, a market analysis program and access to half hourly internet updates to market activity.
    I have used the share analysis program to decide when to buy but have not used the trading platform as I have been using commsec to trade.

    I have a two questions if anyone could help out:
    1 - Can I claim the cost for the course and its products? I asked my accountant about claiming these costs and was told that I could not.

    2 - Am I able to claim part of the cost of my computer and internet connection fees?

    Any help would be greatly appreciated.
    Last edited by a moderator: 13th Mar, 2009
  2. Billv

    Billv Getting there

    15th Jul, 2007
    Sydney, NSW
    I am not an accountant but from what I know unless they are education expenses related to your current job I don't believe you can claim them.
  3. Simon Hampel

    Simon Hampel Co-founder Staff Member

    9th Jun, 2005
    Sydney, Australia
  4. Rob G.

    Rob G. Well-Known Member

    6th Jun, 2007
    Melbourne, VIC
    It depends ......

    You say you are merely "dabbling" in investment.

    Therefore courses and subscriptions relevant to your ongoing "investment" could be deductible - either in fill or depreciated where appropriate for capital items like software.

    However, if you enrol on a "trading" course to engage in a new and more intense activity closer to being a business then the ATO could argue that these costs are both preparatory and of a capital nature - being intended to open up new income producing activities.

    It all depends on your details, intention and history.


  5. benilain

    benilain New Member

    25th Feb, 2011
    news article from the brisbane times

    THE Sharemarket College, a private Brisbane teaching institution, has emerged as a key agent for Sonray Capital Markets, the Australian financial services company that imploded last month. The administrator Ferrier Hodgson froze $65 million worth of creditors' funds after the collapse, affecting about 4000 investors.
    The college is an authorised representative of Sonray and runs courses in shares trading, the self-management of super and intraday and options trading. It also teaches students how to trade high-risk financial instruments called contracts for difference, or CFDs, with the online trading program SMC Trader.
    Ferrier Hodgson said investors with exposure to Sonray were introduced to the company through a small number of ''authorised representatives'' or ''introducers'' like Sharemarket College.
    Advertisement: Story continues below
    The actor John Jarratt, star of Wolf Creek, appears in a promotional video on the company's website as a ''Sharemarket College member''. In it Jarratt tells how the college can help ''make your money grow, take charge and keep the change''.
    One statement on the website explains how CFDs can increase exposure to shares: ''For a normal gearing of up to 10 times, an investment of only $10,000 can command a position of $100,000 in the stock market''.
    On another website the chief executive of the college, Graeme Rogers, says CFD trading is ''as easy as buying a simple stock in Australia''.
    The Australian Securities and Investments Commission believes a large proportion of traders do not understand the risks associated with CFDs. A recent ASIC report found investors had been trading CFDs although they lacked the ability and knowledge to do so. It also found about 15 per cent of CFD traders invested between 50 and 100 per cent of their portfolios in the product.
    ''Some investors are trading CFDs within their self-managed superannuation funds, and some investors are using their retirement savings as trading capital. These behaviours are all a cause for concern as the highly leveraged nature of the product means that small market movements could easily result in margin calls which traders may be unable to meet,'' ASIC's study said.
    The market for CFDs has flourished in Australia, despite being banned in the United. States