# Computers and data communications connections

If you use a computer for work, you can deduct the acquisition costs as expenses for the production of income.

If requested, you must specify how much and for what purposes you use the computer in your work. The deduction amount also depends on whether you use the computer for personal purposes and how many computers you have in your household.

You can deduct the acquisition price of a computer as follows:

No proof of work-related use of the computer 0% 50% 100%

How to report a computer as expenses for the production of income

## Data communications connections

Charges for data communications connections (e.g. internet connection) used for the production of income are subject to the same deduction rates as computers.

## You can deduct the acquisition cost of a tool as a depreciation

Make the first deduction in the year of acquisition. You can continue to make deductions for the item as annual depreciation up until the year when the item is no longer used for producing income.

You can deduct the acquisition cost of a computer as annual depreciation. The deduction is 25% of the remaining undepreciated acquisition cost every year. If the maximum acquisition cost is no more than €1,000, you can deduct it in one go.

Example 1: You buy a computer for €2,000 and have proof of using it for work purposes.  You are entitled to a 50% deduction, i.e. €1,000. You can deduct the full amount of €1,000 in the year of acquisition.

Example 2: You buy a computer for €2,000 and use it primarily for work purposes. You are entitled to a 100% deduction. In other words, you can deduct €2,000 using the declining-balance method.

Year 1: 25% depreciation x €2,000 = €500. The approved deduction is €500.
Calculate the following year’s depreciation from the remaining undepreciated acquisition cost, which is: €2,000 - €500 = €1,500.

Year 2: 25% depreciation x €1,500 = €375

Year 3: 25% depreciation x €1,125 = €281.25

Year 4: the undepreciated acquisition cost is less than €1,000 (1,125 - 281.25 = €843.75), so you can deduct it in one go.