Nice customers, reliable suppliers and business partners want to be serious, especially to send to the feast of joy, with a small gift a heartfelt “thank you” for the smooth cooperation. Therefore, even for once the Treasury has understanding, and allows business leaders and professionals, the costs incurred for the presents as a so-called operating expenses to make tax deductible. Of course, only within reasonable limits and in strict compliance with current tax law. What do you need to do when you tailor-made to the current legal basis will attract appropriate Spendierhosen?
Budget ceiling: 35 €
Too much generosity is not being supported by the state. A gift that has cost more than € 35 is therefore not recognized as tax-deductible. In this case, you have maybe between a more expensive gift, which aims to reward a particularly fruitful business relationship, and a little cheaper, but may elect tax-deductible gift. The question whether this is the beauty in the eyes of the recipient brings in long term over short-term tax relief will be answered probably not always so easy.
Every year a new
Now enterprising contemporaries could fall for the idea to send the esteemed partners simply more gifts, each with a maximum of 35 beat the Euros. But on this small board you should not go first. The legislature has clearly established that the 35 € per donee person must be sufficient for the whole year. If you can then jump may be too little Easter for example, 20 €, and tax deductible, it will be the Christmas present for only a maximum of 15 € in it, if the tax advisor should complain.
Who got it?
Even the idea to develop a pro forma for the multiple personality, to become self-employed nice gifts to business costs, is no stranger to the Treasury. Therefore is it written that any significant gift with which you want to cultivate a business contact, be listed on the tax return with the full name of the gift recipient and the occasion of the bestowal of gifts must be credible. And the Revenue Commissioners in doubt, do as well samples. Woe to him who loses as a result of a false statement and misguided cunning annoyed both the customer and his white waistcoat.
Must I really keep records on every giveaway?
No – even as ugly is the tax office then again, not now. When it comes to the gifts of low value bulk items such as the famous promotional pens and disposable lighters is with advertising, then the whole batch will be fully claimed as a business expense items. It must also thank the heavens, can not be documented, who, when and why a pen or get a bag of candy. If you can tear it but really under the Christmas tree which may be safely doubted. Small gifts also and especially in business, friendship. But if it should forward the tax return, unfortunately, have somewhat smaller buns are baked. But they can also cause great pleasure indeed.