Application Costs – Everything You Need to Know

Are you currently looking for a new job? We have good news for you – you can save on taxes while doing so. Learn which job search costs you can deduct from your taxes and which documents you need to submit for reimbursement.

Deducting job application costs from taxes – what you can deduct

Job application costs (i.e., costs related to your job search) depend on your income. You have the option to claim them as tax-deductible expenses – regardless of whether you secure a new position or not. The key factor is whether the costs incurred are directly related to your job search. Which job application costs can you deduct on your tax return?

• Stationery
• Envelopes and postage stamps
• Presentation folders and transparent sleeves
• Application portfolios
• Application photos
• Official certificates
• Certification of documents
• Preparation courses for interviews
• Newspapers on labor market topics (including Süddeutsche Zeitung and Frankfurter Allgemeine Zeitung)
• Books on labor market-related topics
• Costs for job advertisements and internet or telephone
• Parking fees
• Fees for public transport tickets
• Accident costs on the way to a job interview

The following job application costs are also deductible if they are not reimbursed by the prospective employer.

• Travel expenses for interviews (€0.30 per kilometer).
• Accommodation and meal costs
• Costs for trial employment

However, the amount you specifically paid for new clothing for the interview or for the application photo is not deductible.

Tax deductibility of job application costs – receipts

If you want to deduct job application costs from your taxes, it is important to keep all receipts for expenses incurred during your job search. You do not have to send them with the tax return to the tax office, but you must be able to present them to the tax office if necessary (for queries or doubts) and prove that they are job application costs. The higher the expenses, the more likely it is that the tax office will request your receipts.

What to do if you lose or do not collect receipts?

If you have lost or not collected receipts for your job search expenses, you still have the option to deduct job application costs from your taxes. Specific flat rates are applicable, which you must state in your tax return.

Tax deduction of job application costs – flat rate

With flat-rate taxation, you can receive a flat amount of up to €1,000 per year from the tax office. Flat-rate job application costs can also be deducted for applications supported by receipts, but only if they exceed the flat rate of €1,000 per year. If the total job application costs are less than €1,000, it is better to claim a flat amount. If they are higher, you can claim the actual expenses incurred.

Tax refund for job application costs – summary

You can claim almost all job application costs on your tax return. To ensure the process runs correctly and without unnecessary complications, you can use our Tax App Taxando. This keeps your tax return safe and straightforward.