The membership fee is tax deductible
The question of whether the membership fee is tax deductible cannot be answered across the board. The object of the association is the basis for tax deductibility.
Club fees for sports clubs are not income-related expenses
Many people are affiliated with a wide variety of associations. Mostly these are sports clubs, music clubs and the like.
- These clubs live mainly from the membership fee of their members. Since the members receive something in return from the association, there is primarily no public benefit.
- For this reason, you will not receive a receipt from your club cashier for the club fee. However, this would be necessary so that the contribution would be tax deductible.
- It is different with sponsoring associations. There are, for example, sports clubs that no longer want to keep active members as supporting members in their ranks. In order to be able to declare these contributions as tax deductible, the associations set up their own development associations. The non-active members then become members there.
- Experience has shown that the establishment of such a development association is not easy if the tax effectiveness is to be guaranteed.
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Requirements that contributions are tax deductible
- As already shown, the membership fee for a development association is tax-deductible. Proof of the premium paid is required. Ideally, it should be noted that it is a donation receipt.
- The membership fee for an income tax aid association is also partially tax-deductible. The portion of the contribution that is directly related to the employee's earnings can be claimed as income-related expenses.
- As a self-employed person, you still have the option of claiming the contribution as business expenses if you are a member of a trade association.
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