Can I deduct my further education expenses from taxes?
January 15, 2024 | 40,00 EUR | answered by Georg Nitsche
Dear tax advisor,
My name is Otto Hausdorf and I work as an employee in a medium-sized company. In my spare time, I am pursuing a part-time further education to become a specialist in marketing. The costs for this further education amount to a total of 5,000 euros per year. Now I am wondering if I can deduct these training costs from my taxes.
Currently, I have been financing the training costs entirely out of my own pocket. However, I am concerned that these expenses could become a financial burden for me if I am unable to claim them on my taxes. Therefore, I am looking for possible solutions to deduct my training costs from taxes and improve my financial situation.
So my question is: Can I deduct my training costs from taxes? If yes, what requirements do I need to meet and how exactly can I indicate the costs in my tax return? Are there specific forms or documents that I need to submit in order to claim the training costs?
I would greatly appreciate it if you could assist me with this question, as it is very important for me to optimize my financial situation. Thank you in advance for your support.
Sincerely,
Otto Hausdorf
Dear Mr. Hausdorf,
Thank you for your inquiry regarding the tax deductibility of your further education expenses for the Marketing Specialist qualification. I am happy to provide you with a detailed answer to your questions.
In general, further education expenses can be deducted for tax purposes if they are work-related and are related to your current or planned professional activity. The costs of your further education for the Marketing Specialist qualification should therefore be deductible, as they aim to improve your qualifications in the marketing field and thus increase your career opportunities.
However, in order for the further education expenses to be tax deductible, you must meet certain requirements. Firstly, the further education must be related to your current or intended professional activity. This is the case with your further education for the Marketing Specialist qualification, as it directly targets your professional field.
Furthermore, the further education costs must be in a reasonable proportion to the expected professional benefits. Since the costs of your further education amount to 5,000 euros per year, this requirement should be met, as the expected professional benefits from the Marketing Specialist qualification are in a reasonable proportion to the costs.
To report the further education expenses in your tax return, you must list them as business expenses in the context of your income from employment. In the Annex N of your tax return, you can enter the further education expenses under business expenses. Here, you should specify the exact costs of the further education and, if necessary, attach receipts and invoices as evidence.
There are no specific forms that you need to submit to claim the further education expenses. It is usually sufficient to list the costs in your tax return and, if necessary, attach the corresponding evidence.
I hope this information helps you and allows you to deduct your further education expenses for tax purposes. If you have any further questions, please feel free to contact me.
Sincerely,
Georg Nitsche
Tax Advisor
