Paramedic can deduct psychotherapy costs, but lawyer cannot
October 29, 2024
In recent years, awareness of the impact of occupational stress on employees’ mental health has increased, which is reflected in tax interpretations regarding the possibility of deducting expenses for psychotherapy as business costs. More and more individuals in high-stress professions, such as paramedics, seek therapeutic support, considering it essential for maintaining their health and work performance. However, not all professional groups can expect favorable treatment from tax authorities in this regard.
Paramedic’s psychotherapy as a business expense – KIS decision
A paramedic received a positive tax interpretation regarding possibly deducting psychotherapy expenses. In the interpretation dated April 22, 2024, 0113-KDIPT2-1.4011.148.2024.2.HJ, the applicant argued that his profession is associated with high levels of stress, significant risk of burnout, and mental illness. Additionally, paramedics are responsible for human life and health, must make decisions under time pressure, and are exposed to traumatic scenes during incidents. As a result, the taxpayer decided to attend psychotherapy sessions aimed at relieving tension and reducing stress.
Therapy expenses as business costs? KIS gives the green light
The Director of KIS (National Tax Information Office) agreed that the psychotherapy expenses are related to the applicant’s business activities. The authority stated that attending such sessions helps prevent burnout and the development of post-traumatic stress disorder. It also helps reduce the likelihood of absenteeism due to illness, which directly affects the attainment, maintenance, and protection of income sources.
An accountant cannot deduct therapy expenses from their taxes
On the other hand, an accountant cannot deduct psychotherapy expenses, as such expenses are considered personal in their case. In the interpretation dated July 11, 2024, 0115-KDIT3.4011.453.2024.1.RS, the Director of KIS pointed out that every job causes stress, and many professions involve even greater responsibilities. Therefore, every job affects health, including mental health. In the case of an accountant, psychotherapy expenses are not related to business activities.
A legal advisor also cannot deduct therapy expenses from their taxes
Likewise, a legal advisor cannot deduct psychotherapy expenses. In an earlier interpretation dated December 5, 2022, 0115-KDIT3.4011.728.2022.1.JS the authority again stated that psychotherapy expenses incurred by a legal advisor are personal. These expenses are aimed at improving health rather than performing business activities. Therefore, there is no connection between the therapy and the business activities.
When is therapy considered a business expense?
Powstaje zatem wątpliwość, w jaki sposób Dyrektor KIS ocenia czy uczęszczanie na terapię jest podyktowane pracą zawodową, czy po prostu dbaniem o własne zdrowie psychiczne. Na bazie podanych interpretacji większe prawdopodobieństwo uzyskania pozytywnej interpretacji mają przedstawiciele zawodów medycznych. W ocenie KIS są bardziej narażeni na stres.
Tags individual tax ruling, podatki, taxes
