From one of the most recent interpretation of tax law, we learn that the expenses incurred to pay for the social inclusive general school, in which rehabilitation treatments are carried out, meet the conditions of rehabilitation relief and can therefore be deducted from personal income tax.
The Director of National Tax Information (KIS) asked for an interpretation of the individual tax legislation on personal income tax in terms of deduction from the income of rehabilitation expenses to a woman whose son is an extreme premature.
Son due to coupled disability (child palsy, hearing loss of both ears, spasticity four limbs, problems with motor coordination) received from birth a disability ruling, while after completion 16 he received a judgment of moderate disability.
According to the applicant, the son required and continued to require constant specialist care from the outset.
Rehabilitation expenditure, in this case incurred on social inclusive secondary education, can be classified as expenditure incurred for rehabilitation purposes and deducted from tax
In this state of affairs, the applicant wanted to make sure that she could deduct the relief for the rehabilitation of her son (if her income allowed) because, in her opinion, as a parent of a disabled child, she had the right to rely on the child's education fee.
Article 26(7a)(6) Act of 26 July 1991 on personal income tax (Journal of Laws of 2019, item 1387 t.j. of day 25 July 2019), concerning the possibility of deductions for rehabilitation (in this case social rehabilitation).
The applicant also pointed out that the son did not earn any income, and it covered all expenses for the son's integration school from his own income. This expenditure was also not co-financed from any institution.
Moreover, the applicant has all invoices, bills, proof of payment, in which the amount for rehabilitation treatments is specified. The woman also noted that the school her son attends is the only school in the area that provides her son with a comprehensive integration education, and thus also social rehabilitation.
Thanks to it, the son has the chance to function independently in society in the future.
The applicant agreed with the Director of KIS, indicating that the applicant’s description of the facts shows that the rehabilitation procedures used by his disabled son as part of classes in a social inclusive general school fulfil the conditions for their recognition as rehabilitation treatments referred to in Article 26(7a)(6) PIT Act.
As a result, the social function and the broad integration of a disabled child would be improved. It should therefore be taken into account that rehabilitation is carried out by qualified teachers and that the disabled son of the applicant has a decision on the need for special education, issued by a psychological and pedagogical clinic.
Therefore, in the opinion of the Director of KIS, taking into account the facts and the tax legislation laid down in the proposal, it concluded that the expenses incurred by the applicant for rehabilitation procedures provided in a social inclusive high school general education for its disabled son may be counted as expenses incurred for rehabilitation purposes and deducted from the tax base in a statement of the amount of income obtained in the tax year in which they were incurred, if the other conditions set out in the abovementioned conditions are met.
Article 26 the abovementioned Act. The Director of the CIS also pointed out that this deduction is due to the actual expenditure incurred, and that it cannot exceed the amount of income to be taxed, where the amount of expenditure should be determined on the basis of documents stating that it is incurred.
In summary, rehabilitation expenditure, in this case incurred on social inclusive general school, can be classified as expenditure incurred for rehabilitation purposes and deducted from tax.
On the basis of the Individual Interpretation dated 30 June 2020, The signature. 0113-KDIPT2-2.4011.383.2020.2.AKU
Author: Paweł Boś
Junior Tax Consultant, associated with Russell Bedford Poland from 2018. Author of numerous articles on legal and tax matters, published in the industry press. Law student at Leon Kozminski Academy in Warsaw