Tuition fees, exercise instructor advertising costs
October 13, 2011 | 25,00 EUR | answered by Dr. Yanqiong Bolik
Dear experts,
Description of my tax situation for the year 2010:
* Employed as a saleswoman (tax-free allowance not used).
* Part-time job as a music instructor (advertising costs 2480€ greater than the instructor tax-free allowance of 2100€).
* Parallel studies in music education.
I have the following questions:
a. The tax office did not deduct the advertising costs from the income from freelance work, but did not grant the remaining advertising costs of 380€ because I did not specify any advertising costs from my employed work. Is this correct?
b. Where would you classify the tuition fees (my first education was as a saleswoman)? As advertising costs or special expenses?
What conditions must be met for me to deduct them as special expenses -> then I don't have to touch my standard deductions (instructor + tax-free allowance from employed work) next year.
Best regards.
Dear inquirer,
Thank you for your inquiry, which I will gladly answer taking into consideration your input and the rules of this platform.
Please note that my explanation is based on the facts presented, and that adding, omitting, changing information, or the ambiguity of information can change the tax result.
You can deduct expenses as advertising costs for a type of income if there is an objective (economic) connection to that type of income and they subjectively serve to promote the generation of income. According to this principle, you cannot therefore declare the expenses incurred as an exercise instructor as advertising costs for non-self-employed activities. Since you claimed the tax-free allowance for income from activities as an exercise instructor, further deductions were excluded (§§ 3 No. 26 in conjunction with 3c (1) EStG).
Your music education studies were preceded by a completed initial vocational training. This is another course of study. The expenses incurred through this additional course of study are considered operating expenses or advertising costs if a sufficiently concrete, objectively determinable connection exists with future income from the desired professional activity subject to tax in Germany. §10 (1) No. 7 EStG allows for the deduction of expenses for one's own vocational training as special expenses if these expenses do not represent advertising costs or operating expenses.
I hope this helps provide an overview.
If there is still any uncertainty, please feel free to use the follow-up function.
Best regards,
Dr. Yanqiong Bolik
Tax advisor
Bildstöckle 6, 70567 Stuttgart
Tel: +49 (0)711 / 9332 2657
Email: info@zdbz.de
www.steuerberatung.zdbz.de
