Income tax - Business expenses: flat rate or actual expenses (deduction)

Verified 06 June 2024 - Directorate for Legal and Administrative Information (Prime Minister)

Do you have professional expenses (travel expenses from home to work, clothing specific to the job you are doing, etc.) and want to deduct them from your salary? You have the choice between the lump sum deduction of 10% and the deduction of your business expenses for their actual amount. We'll tell you what you need to know.

Flat-rate deduction

You don't have a condition to fulfill.

The flat-rate deduction of 10% is automatically calculated on your salary to take into account current work expenses related to your job.

The flat-rate deduction covers current costs.

The main current business expenses are:

  • Travel expenses from home to work
  • Catering costs at the workplace
  • Purchase of personal documentation (not provided by the employer)

The flat-rate deduction shall be at least €495 for each member of the tax shelter.

Its maximum is €14,171 for each household member.

Please note

Allowances paid by your employer to cover your telework expenses at home are exempt from tax, up to €2.60 per day (€57.20 per month) for your 2023 revenues.

If you choose the lump sum deduction, you have no steps to take.

The administration automatically applies the lump-sum deduction of 10% on your salaries.

Please note

Each member of your tax shelter may waive individually the lump-sum deduction of 10% and claim the deduction of its actual costs.

Actual costs

If you consider that the deduction of 10% does not cover your expenses, you can choose to deduct your business expenses for their actual amount.

The deduction of actual expenses applies to all wage income.

You cannot choose the rebate of 10% for some of your salaries and the deduction of actual expenses, for the other.

Warning  

You cannot choose the rebate of 10% for some of your salaries and the deduction of actual expenses, for the other.

However, each member of the tax shelter may choose the scheme which is most favorable to him.

Your expenses must complete the following conditions :

  • Serve your professional activity
  • Be paid during 2023
  • Be substantiated (you must be able to provide the documents proving the reality and the amount of the costs)

The main deductible costs are:

Please note

carpooling expenses incurred for trips between your home and your workplace are deductible, on documentary proof.

To calculate your mileage costs, you can use this simulator:

Actual charges: calculate your mileage charges

FYI  

in the case of electric vehicles, the travel costs shall be increased by 20%.

If you choose the actual expense deduction, you must fulfill the following obligations :

  • Indicate the amount of business expenses for which you are claiming the deduction
  • Detail your actual costs (specify their nature and amount) in a supporting note
  • If necessary, add to your taxable remuneration the allowances that your employer paid you for professional expenses

You must keep supporting documents (invoices, restaurant notes, etc.) for 3 years.

FYI  

in the case of carpooling on your journey from home to work, only the amount of the expenses remaining at your expense after the sharing made can be deducted from the income.

The 2024 income tax return for 2023 is complete.

The 2025 2024 Income Tax Return will begin in april 2025.

Tax returns via Internet is required if your principal residence is equipped with internet access and you are able to file your return online.

Who can help me?

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  • For general information

    Tax Information Service

    By telephone:

    0809 401 401

    Monday to Friday from 8:30 am to 7 pm, excluding public holidays.

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    Department in charge of taxes (treasury, tax department...)