Deducting further training from taxes

In short: Costs for professional further training can often be deducted from tax in Germany as work-related expenses or business expenses. This applies especially when the training serves one’s current occupation.

In more detail: A distinction is made between further training costs (usually fully deductible) and initial training costs (only deductible to a limited extent).

In detail

• Work-related expenses: Deductible for employees, for example course fees, specialist literature and travel costs.
• Business expenses: Directly profit-reducing deductible for the self-employed.
• Initial training vs. further training: A first vocational training or first degree is treated differently for tax purposes than further training in an already practised occupation.
• Keeping receipts: Keep invoices, course documents and travel records for the tax return.
• Employer contributions: Costs covered by the employer do not need to be additionally deducted.
• Educational leave: In many federal states there is an entitlement to paid leave for further training.
• Advice: For more complex cases a tax adviser helps use all options correctly (erwachsenenbildung-und-lebenslanges-lernen).