Joe carries on a business making and installing kitchens and bathrooms in new and existing homes. He had the following expenses during the current tax year ended 30 June:

1. Golf club membership fees of $780. These were incurred to meet potential customers.

2. A speeding fine of $130 paid on behalf of one of his employees who were using one of the work vehicles to collect materials for the business.

3. Joe paid HECS fees of $3700 for a business management degree course he is doing at University. The course will assist Joe to manage his business more effectively.

4. Joe paid $2300 for annual leave payments where one of his employees took three weeks holidays.

Based on these payments what amount can Joe claim as tax deductions for the current tax year ended 30 June?

Select one:

1. $7500

2. $6 780

3. $7780

4. $2 300

5. $6 000