You have a lot of expenses every day, but which of them can you deduct?
In the table below you can find some examples of common business expenses and related categories*:
Your expense | Bookkeeping category | Details |
Stationery, everyday office supplies, postage and shipping costs | Office costs | - |
Airfare for business flights | Travel costs | - |
Other operating expenses | Other expenses | - |
Goods, raw materials including incidental costs | Goods | - |
Further education | Education | - |
Contributions, fees, levies (e.g. contributions to professional associations) | Fees | - |
Advertising, marketing | Advertising | - |
Services purchased from other companies | External freelancer | - |
Income tax prepayments and final payments | Tax payment | Not an operating expense |
Telephone, cell phone, cell phone, WLAN, Internet, DSL | Telecommunication | - |
Office rent | Rent | - |
Hotels, Overnight stays | Accommodation | - |
Legal and tax advisor fees, legal costs | Legal and tax consulting | - |
Rent and or lease of other items | Leasing (without cars) | For example: electronic devices (laptops, cell phones) via Grover |
Ongoing IT costs: consulting, maintenance, repair | IT costs | - |
Business meals, restaurant visits, delivery services | Entertainment | 70% of the costs reduce the profit. 30% are not taken into account. The input tax is drawn in full. |
Input tax | Deductible VAT | With this account input tax can be entered as a whole amount. The whole transaction amount is always taken into account and included in the respective advance VAT return |
Advance and final VAT payments | VAT payment | - |
Personnel costs (salaries, wages and insurance contributions) | Payroll | - |
Computer, laptop, tablet and phone | Low value assets below 250 € | These assets do not appear in fixed assets |
Computer, laptop, tablet and phone | Low-value asset €250 - €800 | These assets are depreciated immediately and are to be carried under fixed assets |
Computer, laptop, tablet and phone | Asset over 800 € (assets list) | These assets are depreciated over the respective period and are to be carried under fixed assets |
Maintenance expenses, maintenance, repair | Maintenance costs | - |
Packing and transport | Shipping costs | - |
Interest for financing the cost of fixed assets | Interest (assets) | - |
Interest for a car loan | Interest (car assets) | - |
Other interest (e.g. interest on bank overdraft) | Interest (other) | - |
Gifts to business partners up to EUR 35 net per person | Gifts | - |
Flat rates for additional subsistence expenses for business trips | Daily allowance | Only the fixed amounts for business trips under and over eight hours of absence are to be recorded here (14 EUR/24 EUR) |
Leasing costs for company cars and passenger cars | Leasing car | - |
Taxes, insurance and tolls for company cars and passenger cars | Car fees | - |
Waste disposal | Waste disposals | - |
Trade tax advance and final payments | Trade tax payment | Trade tax is not a business expense, but is credited against income tax when preparing the income tax return |
Actual travel expenses, repairs, maintenance, fuel | Car costs | - |
Public transport | Public transport | Bus and train costs |
Other operating expenses that are not deductible | Limited non-deductible business expenses | - |
Other operating expenses that are deductible | Limited deductible business expenses | - |
Bank charges | Bank fees | - |
Business insurance costs (e.g. professional insurance) | Insurances | - |
Costs for software (e.g. Asana, Miro) | Software and licenses | - |
Technical literature, books | Books | - |
Advance payments on fixed assets | Down payment | When this account is used, the net amount does not affect operating expenses and operating income. |
Import VAT | Import VAT | The entire transaction amount is recorded as import VAT and taken into account in the respective advance VAT return |
Private supermarket purchases, fines and penalties, clothing | Private out | These expenses are of a private nature and cannot be recognized as a business expense |
* These are recommendations only. We do not guarantee the accuracy.