How does the deduction of household-related services work in the income tax return?
November 29, 2023 | 40,00 EUR | answered by Andreas Stricker
Dear tax advisor,
My name is Theodor Maier and I have a question regarding the deduction of household services in my income tax return. In my household, I regularly employ a cleaning lady who helps me clean my apartment. This incurs monthly costs that I would like to deduct for tax purposes.
However, I have no experience with deducting household services in my income tax return and I am unsure of how exactly this process works. I am wondering what requirements need to be met in order to deduct the costs for the cleaning lady and how much I can claim for tax purposes.
Additionally, I am concerned about whether I have all the necessary documents for the income tax return and if I should consider including any other household services in my tax return. I want to ensure that I do not miss out on any tax benefits and do not make any mistakes in deducting household services.
Could you please explain to me how the deduction of household services works in the income tax return and provide possible solutions for me to claim my costs for the cleaning lady for tax purposes?
Thank you in advance for your assistance.
Yours sincerely,
Theodor Maier
Dear Mr. Maier,
Thank you for your question regarding the deduction of household-related services in your income tax return. I am happy to explain to you how this process works and what you need to consider in order to claim the costs of your cleaning staff as a tax deduction.
First of all, certain requirements must be met in order for the costs of household-related services to be tax deductible. These include that the services are provided in your own household and involve manual activities that could also be done by family members. This includes the cleaning of your apartment by a cleaning staff.
The amount that you can claim as a tax deduction is 20% of the costs for household-related services, but with a maximum of 4,000 euros per year. This means that you can deduct up to 800 euros per year from your taxes if you regularly employ a cleaning staff.
To include the costs of the cleaning staff in your income tax return, you will need the invoices or receipts for the services provided. These should be issued in your name and include the specific services provided and the period of service. Additionally, I recommend obtaining a confirmation from the cleaning staff about the services provided.
It is also important to note that you can include not only the costs for the cleaning staff, but also for other household-related services such as garden maintenance, childcare, or care services in your tax return. Similar requirements apply in these cases as with the cleaning staff.
I hope this information was helpful to you and I am available for any further questions you may have. Please remember to gather other relevant documents for your tax return in order to take advantage of all possible tax benefits.
Best regards,
Andreas Stricker
