Study (room)

A study is a room in which an activity is carried out, which is a type of income tax related. With regard to the determination of operating expenses ( § 4 par 5 No. 6b Income Tax Act ) and the related expenses ( § 9 para 5 ITA ) it has with the home office a special reason for this apply in comparison with other work purposes spaces (working rooms). What is meant by a home study, however, is not defined by law, so largely to the jurisdiction of the Federal Fiscal Court (BFH ) must be used. After that, the home office is a space of

• - Is integrated into the domestic sphere, - according to its function and equipment and by its location
• Mainly the execution of mental, written or administrative or organizational work - serves and
• Is used almost exclusively for business or professional purposes.
• Rooms with atypical features and function are not considered work, regardless of whether they are involved in the domestic sphere of the situation after; Examples include workshop, healing professional practice, office, treatment room.

A study is not " domesticated "

• If it is rented in a strange building.
• If it takes place the public or non-family employees.

Legal since 2010

With the Annual Tax Act 2010, the home office was declared under certain conditions again for deductible. Up to € 1,250 in the tax return be invoked " if there is no other work available for corporate or professional activity ". This amendment was triggered by the action of a teacher married couple. For the occupational group "teacher" is now regularly assume that the above condition is met. The same applies to other professional groups, such as field staff without a desk in a corporate office.

The deduction limit to 1250 euro does not apply if a leased space outside the home is used ( as "non- home office "). In this case, all actual costs can be deducted. Such a lease must be actually ' lived ', which can be assumed in particular if there is a written contract and regular cashless payment of rent.

Regardless of the recognition of a work room, the cost of equipment can continue to be deducted as a business expense.

Note to mixed expenses i.S.d. § 12 Section 1 of the Income Tax Act:

So far, expenses, and the exception for a home office, often with a reference to § 12 Section 1 of the Income Tax Act by deducting as a business expense. The jurisprudence of the BFH was judged differently by the various Senate whether cost sharing is to be made, or a general deduction prohibition exists. The IX. Senate of the BFH has now (spring 2014) the Grand Chamber of the BFH submitted this question to the decision in order to achieve a uniform law ( BFH, decision v. 21:11:13 - IX R 23 /12; published on 02.05.2014 ).

Legislation from 1 January 2007

Since 1 January 2007, the deduction of the cost of a home office was limited. There was only "full withdrawal " or " no deduction ". The Federal Constitutional Court considered this new regulation is not justified (deviation from the objective net principle ). Following the decision of the expenses for a study must also be tax deductible if it is not the center of the professional and operational activities, but the taxpayer is not otherwise workplace. The legislature was asked to retroactively from 1 January 2007 to eliminate the unconstitutional state.

Center of the professional and occupational activity

According to § 4 section 5, No. 6b in conjunction with § 9 para 5 ITA 2007 is a deduction of the costs for an unlimited amount possible when the office is the focal point of the entire operational and professional operation. This is the case if the essential and fundamental to the profession or operation activities will be performed in the home office. The temporal life of the study has only indicative effect.

If the professional or operations both in the office and outside the home, the quality focus of the whole activity must be determined. It is not (any longer ) on whether an otherwise fixed workstation is available, whether the income is obtained in the study most or whether the " business supporting ideas " are being developed in the study or the business decisions are made. It is crucial that the activities in the study characterize the entire professional or occupational activity.

If several activities are carried, the center of all activity must be determined according to the following criteria:

First, the gravity is determined, and then, on this basis, the qualitative focus of the total activity for each activity separately. The determining factor is the center of the main activity. If a non- self-employed full-time employment exercised, it is relevant as a main activity for the determination of the center of gravity. In exercising more self-employed persons or self-employed part-time employment not more criteria need to be examined, by means of which the center of gravity of the total activity is to determine, in particular value, revenue and cost of each activity.

The study the qualitative focus Forms in all activities, it is also the center of the overall activities: - next to each other more than one activity exercised (without a determining main activity ) in the study, the following principles apply. - If the focus in all activities outside the labor room, a deduction is not (no longer ) possible. - If the qualitative focus of activity in the study, but in other outside, an individual assessment must be made.

Use of the study for telework

In pursuing an employment computer workstation in your own office it is important whether telework is practiced exclusively in the home office or alternately at home and in operation. When only telework in home office this is the focal point of the entire professional activity and the costs are deductible in full as advertising costs. If the activity is exercised alternately at the workplace and via home study, the temporal division is an essential indication. If the study used three days a week, here also the qualitative focus of the activity will be.

Full deduction of other study or spaces

Expenses for non- home office and other rooms can be basically recognized for tax purposes. Under certain conditions, a room that is in the same house, be deducted as home office except when it eg the apartment is not directly connected and about the study, a further tenancy agreement. The inner connection of the study with the living spaces located in the same building is then broken, can be reached if the study on one of the general public accessible and used by someone other traffic area.

Tax Deductibility of furnishings

The above restrictions apply only to the cost of the space as such ( pro-rata depreciation for the building, prorated rent, prorated costs), but not for expenses for typical furnishings

• Desk
• Boss chair / office chair / exercise ball ( as a back-friendly seat )
• PC with accessories ( such as printers and scanners )
• Telephone and / or fax machine
• Racks and shelves for books and documents
• Trash / Shredders

Legal until 31 December 2006

Makes the home office to the center of the entire operational and professional activity, the cost of this in full operating expenses or business costs. If the requirements of the full deduction is not given, it is possible to sell each year as a business expense for the home office up to 1250 euros up to the end of the assessment period 2006. The only prerequisite is that the occupational or professional use of the work room is more than 50 percent of the total operating or profession or no other work is available.