Expenses for the production of income, for example home office deduction, work tools
You can claim deductions for some of the expenses related to your income from employment. The expenses in this category include:
- the expense you must pay for a workspace
- the personal tools you may have
- the expenses for books relating to your occupation or profession
- the training expenses you pay
- the increased living expenses due to work trips
- the shop steward’s fees you pay
In addition, you can claim deductions for expenses that are related to other income than your wage income i.e. other activities than your employment, including:
- expenses for the production of other work income, typically related to nonwage compensation, “trade income”. Example: the fees you must pay to an invoicing-service company
- expenses for the production of income relating to benefits and other earned income
If you receive income from an activity that is recreational or a hobby, you cannot claim deductions higher than up to the amount of received income only.
This section is only for employment-related expenses – do not enter your expenses relating to academic grants, to other grant income, your deductions for a second home for work, expenses related to your capital income. Claim the above deductions under the tax return’s sections that are intended for them.
Note: there is a 750-euro threshold of deductibility
If you do not reach the threshold of €750 in expenses for the production of income, there is no need to submit the information. You get the standard deduction, €750, for the production of income automatically.
If you spent more than €750 on the production of your income, on acquiring income, on maintaining income, etc., you exceed the threshold. In that case, you should indicate the entire amount of your expenses. Do not subtract the 750-euro threshold from the total expenses.
If you have given the Tax Administration the amounts of your expenses during the year, when you requested a tax card or prepayment, etc., your pre-completed tax return shows your deduction. After you check the pre-filled amounts, make any necessary corrections and additions.
You should add the expenses for production of income that you have not yet informed the Tax Administration of.
How to file in MyTax
The Pre-completed income and deductions stage contains the information that has been available to the Tax Administration on your expenses for the production of income. If it is necessary to make corrections or to claim less expenses for the production of income, select Open specification to make an itemisation appear. Now you can edit the entries. If just a part of your expenses is showing, fill in the amounts that are missing.
If no expenses for the production of income appear among your pre-filled deductible expenses, enter data in the Other deductions stage as appropriate. Select Yes for Expenses for the production of income. Then click Open specification. Please note that you have to keep the expenses relating to your wage income separate from the expenses that are relevant to your other types of income that are not wages from employment.
How to file expenses for the production of income in MyTax
Further information
- Read about the types of expenses that may qualify for the deduction for the production of income
- Read more: working from home — tax-deductible expenses
How to file on paper
To claim the deduction on paper, submit Form 50A – Earned income and deductions.