Letter: Why Can't Students Claim Their Expenses?
Byline: Dr HENRY WARSON
Dear Editor, -If a company pays for young employees to study at evening classes, part-time all-day education, or even full-time education for a period, it is treated as business expenditure, and is eligible to be charged as an expense against income tax.
On this basis, why should not the full expenditure of a student be chargeable against income tax? A student has actually a negative income during his study period, which can reasonably be considered as pounds 6,000 per annum. With a pounds 3,000 tuition fee, a normal three-year course will leave a student with a pounds 27,000 deficit on leaving university.
If these student fees have to be charged, why then should not the expenses incurred by students, which are de facto capital expenditure, be chargeable against income tax? If an income tax allowance of pounds 6,000 living expenses plus university fees was allowed, and given as a credit against future income tax, which would be the tax on pounds 27,000 for a three year course, amounting to 22 percent of this is most cases, it would give a credit of pounds 5,940 before any income tax was payable. The post graduate would pay no income tax for about three years, and for double that period for the longer courses. Cannot this be considered by the Government?
This would not effect an ultimate repayment.
The Prime Minister …
Questia, a part of Gale, Cengage Learning. www.questia.com
Publication information: Article title: Letter: Why Can't Students Claim Their Expenses?. Contributors: Not available. Newspaper title: The Birmingham Post (England). Publication date: December 13, 2003. Page number: 9. © 2009 Birmingham Post & Mail Ltd. COPYRIGHT 2003 Gale Group.
This material is protected by copyright and, with the exception of fair use, may not be further copied, distributed or transmitted in any form or by any means.