Tax Return
Tax Return in Germany: What You Need to Know
In Germany, filing a tax return is an important part of the tax system. Many employees and self-employed people receive a tax refund after filing their tax return. The amount depends on individual circumstances and deductible expenses.
What Costs Can You Deduct?
A tax return can help reduce the amount of income that is subject to tax. Depending on your situation, deductible expenses may include:
- Work-related expenses: Such as commuting costs and other professional expenses
- Special expenses: Such as church tax and donations
- Extraordinary expenses: Such as certain medical expenses
- Household services: Such as eligible repair and maintenance work
How Do You File Your Tax Return?
You can file your tax return:
- Online through ELSTER
- On paper through your local tax office
- With the help of a tax advisor
The standard deadline for filing a tax return is usually 31 July of the following year. If you use a tax advisor, a later deadline may apply.
Tax Returns for International Students
If you are an international student, filing a tax return may also be relevant to you.
- No income or scholarship: Scholarships are often tax-free, and you may not need to file a tax return.
- Mini-job: Income from a mini-job may already be taxed through the employer, so you may not need to file a tax return.
- Student job or part-time job: If you earn above the applicable tax-free allowance, filing a tax return may be relevant.
- Living in Germany: If you are considered fully taxable in Germany, you may be able to claim a wider range of deductions.
- Living abroad: If you are only partially taxable in Germany, fewer deductions may be available.
Can Students Benefit From a Voluntary Tax Return?
Even if you do not have to file a tax return, a voluntary tax return may still be worthwhile.
Depending on your circumstances, you may be able to claim certain study-related expenses, such as:
- Study materials
- A laptop or other work equipment
- Travel expenses
- Other education-related costs
In some situations, eligible study costs can be carried forward as losses and potentially reduce your taxable income when you start working later.
Get Help If You Are Unsure
Tax rules can be complicated, especially for international students and newcomers to Germany.
If you are unsure whether you need to file a tax return or which expenses you can deduct, consider consulting a tax advisor or using an online tax service such as wundertax.
A tax return may take some time, but for many people, it can be financially worthwhile.