Who is smart, pays in advance
Tax deduction scheme study costs will change end of 2021
You probably don’t like doing your tax return, or do you? If you are considering to join a yoga training in 2022, you should read this. For salaried employees the current tax deduction scheme for study costs will expire at the end of this year. Study costs paid in 2021 can still be deducted in 2022 from your income tax return for 2021. So who is smart, pays in advance. Depending on your income you can get 37% to almost 50% from your study costs back, above an initial threshold.
The conditions are:
* You are a salaried employee.
* You pay income tax in The Netherlands
* You are not entitled to student finance.
* The training is for your (future) profession.
* Only the necessary costs such as tuition, exam fees and teaching materials are deductible.
* There is a threshold of €250 and you may deduct a maximum of €15.000 per year.
So in short:
* You can get the same training for a smaller budget, because you will get the costs partly back from the tax administration.
OR
* For the same budget you can get more training, because you will get the costs partly back from the tax administration.
Lets go to the agenda and pick a nice training.
Check Tax Administration (Belastingdienst) for more information. (in Dutch)
Does this also apply to entrepreneurs or freelancers?
No, the mentioned scheme is for salaried employees. It will stay possible to declare study costs as business costs for your company. It is important that you follow the study for your company, for new developments or to keep your knowledge up to date. You may reclaim the VAT that you owe on the study and/or book fees.
New study costs scheme from the end of March 2022
The cabinet is working on a replacement scheme for the tax deduction scheme. It concerns a general learning and development budget: the so-called STAP-budget. This scheme only comes into effect for courses that start at the end of March 2022. The STAP-budget is a maximum of €1,000 (incl. VAT) per year. If the costs of a training activity are higher, you pay the rest yourself. Unfortunately, all kinds of conditions are attached to the new STAP -cheme that have not yet been clearly communicated by the government. It will probably become difficult to use the STAP-budget for yoga training. Read more (in Dutch) about the STAP-budget.