The three requirements that the self-employed must meet to deduct expenses during the holidays

In the middle of summer, many workers start their summer vacations to have a few days of disconnection and relaxation.. However, the reality is that some workers, such as the self-employed, have to carry out procedures during their vacation period. In this sense, what expenses can be deducted?

The Value Added Tax (VAT) Law is the regulation that is in charge of regulating the necessary requirements so that self-employed workers can apply the various deductions or to know if they are entitled to them.. In this sense, the VAT that is supported during travel expenses can be deducted, as long as it meets a series of conditions.

What expenses can be deducted and how

Self-employed workers may deduct certain expenses, as long as they derive from their professional activity, such as diets or transportation expenses.. Possible accommodation expenses will also be deductible, for example if you have traveled to meet a client.

As detailed in the specialized portal Declarando, “an expense is deductible when it is necessary and exclusive for the development of your activity as a freelancer”. Thus, it can be deducted if the invoice or ticket is kept, this being one of the essential requirements.

Therefore, we must keep the invoice to demonstrate the purchase or the expense made. Said invoice must contain at least the following information: number, issue date, provider, description of the purchase or service acquired, price, and VAT applied.

Another of the necessary requirements is that the deductible expenses must have a direct and exclusive relationship with the economic activity.. On the other hand, the third requirement will be to justify and record all expenses and income in each worker's own ledger.