Questions & Answers
Answers to common questions.
Curated from our articles on tax advisory, statutory audit and legal services — alphabetical, filtered by audience or topic.
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2304 questions · Page 3 / 47
By when must the Corona emergency aid (Soforthilfe) in NRW be settled?
The settlement of the NRW Soforthilfe 2020 is generally scheduled for spring 2021. For any repayment of funds received in excess, there is time until autumn 2021. The original reporting deadline of 30 November 2020 has been postponed.
As of: November 2020
By when must the 2018 income tax return be filed?
The filing deadline for the 2018 income tax return was extended from 31 May 2019 to 31 July 2019. This extension applies to taxpayers who prepare their return themselves. The legal basis is the Act on the Modernisation of Taxation Procedures.
As of: January 2017
By when must the 2018 income tax return be filed?
The 2018 income tax return must generally be filed with the tax office by 31 July 2019. Starting with assessment year 2018, this represents a two-month extension compared to the previous deadline of 31 May of the following year.
As of: January 2019
By when must the income tax return be filed without a Steuerberater (German Certified Tax Advisor)?
Under § 149 Abs. 2 S. 1 AO, the regular filing deadline is 31 July of the following year. For the 2022 tax return, the relevant date is therefore 31 July 2023. If the deadline falls on a Saturday, Sunday, or public holiday, it is extended to the next business day.
As of: July 2021
By when must the final statement for the Corona aid be submitted?
The final statement can be submitted from mid-May 2022 until 31 December 2022. Timely submission is mandatory, otherwise the approved funding must be repaid in full.
As of: May 2022
By when must the electronic wage tax certificate be submitted?
Employers are generally required to submit the electronic wage tax certificate (elektronische Lohnsteuerbescheinigung) to the tax office by 28 February of the following year. This deadline applies uniformly to all employers subject to the submission obligation.
As of: September 2014
By when must a photovoltaic system installed in 2015 be allocated to business assets?
A photovoltaic system installed in 2015 must be allocated to business assets by 31 May 2016 at the latest. This deadline is mandatory; otherwise, the input VAT deduction from the acquisition costs is forfeited.
As of: May 2016
By when at the latest must the switch to the ELStAM procedure be completed?
The switch must be completed by the December 2013 payroll at the latest. By then, at least one payroll run must have been processed via the electronic procedure for each employee.
As of: November 2012
By when did applications for the first phase of the bridging aid (Überbrückungshilfe) have to be submitted?
Applications for the first phase (funding months June to August 2020) had to be submitted by 9 October 2020 at the latest. Retroactive applications after this date were not possible.
As of: September 2020
By when must invoices for intra-Community supplies and B2B reverse-charge services be issued?
For both intra-Community supplies and B2B services rendered abroad by domestic entrepreneurs (reverse charge), the invoice must be issued no later than the 15th day of the month following the month in which the service was performed.
As of: September 2013
By when must self-prepared tax returns be filed starting in 2017?
Taxpayers who prepare their own tax returns have until 31 July of the following year, starting with the 2017 assessment period. This extends the previous deadline of 31 May by two months. The new rule was adopted by the Bundestag on 12 May 2016.
As of: May 2016
By when and where can a change of tax class be requested?
An application to change your tax class can be filed multiple times per calendar year with your local residence tax office (Wohnsitzfinanzamt). The deadline is November 30 of the respective calendar year. The application can also be submitted electronically via the "Mein Elster" portal.
As of: May 2022
Up to what amount is the simplified donation receipt permitted?
Following the Annual Tax Act 2020 (Jahressteuergesetz 2020), the simplified donation receipt is permitted up to an amount of EUR 300 (previously EUR 200). In such cases, a copy of the bank statement is sufficient as proof for the tax office; a separate donation receipt is not required.
As of: January 2021
Up to what amount can standard software be written off immediately from 2018 onwards?
Under R 5.5 EStR, an immediate write-off of standard computer programs was previously permitted up to EUR 410. This threshold is aligned with the low-value asset (GWG) limit under § 6 Abs. 2 EStG and, according to the Federal Government, will likewise be raised to EUR 800. The adjustment is expected with the next revision of the tax guidelines.
As of: August 2017
Up to what amount can coronavirus bonus payments to employees be made tax-free in 2020?
In 2020, employers can pay their employees subsidies and support of up to EUR 1,500 tax-free, either in cash or as benefits in kind. The condition is that the payment is made in addition to the regular wages already owed. The tax exemption applies to all industries, not only to systemically relevant professions.
As of: May 2020
Bis zu welchem Bruttolistenpreis wird ein E-Firmenwagen begünstigt?
Die Bruttolistenpreisgrenze für die begünstigte Versteuerung von Elektro-Firmenwagen wurde angehoben; den genauen Betrag und die Fundstelle finden Sie im Beitrag. (Quelle: Deubner Recht & Steuern)
As of: December 2025
Up to what income level is the solidarity surcharge eliminated from 2021?
From 2021, the exemption threshold for the solidarity surcharge will be raised from 972 euros to 16,956 euros in tax paid. As a result, no solidarity surcharge applies up to a taxable income of 61,717 euros (married couples: double that amount). A sliding-scale zone then applies up to 96,409 euros, so that around 96.5 percent of previous payers are relieved overall.
As of: December 2020
Up to what income tax amount will the solidarity surcharge be fully eliminated in the future?
Individuals paying no more than EUR 16,956 in income tax per year are to be fully exempt from the solidarity surcharge. For jointly assessed spouses, the threshold doubles to EUR 33,912. This exemption limit will relieve the majority of those who previously paid the solidarity surcharge.
As of: October 2019
Up to what limit are company events exempt from wage tax and social security contributions?
A tax-free allowance of EUR 110 gross applies per employee and per event (including VAT and costs for accompanying persons). This benefit applies to a maximum of two company events per year. If the EUR 110 threshold is exceeded, the tax exemption is forfeited for the excess amount, or, according to current interpretation, for the entire benefit.
As of: October 2012
Up to what amount do health insurance bonus payments not count as a contribution refund?
Bonus payments for health-conscious behavior are not treated as a contribution refund up to EUR 150 per insured person and contribution year. Within this allowance, they therefore do not reduce the health insurance contributions deductible as special expenses (Sonderausgaben).
As of: December 2024
Up to what amount is the Corona special payment to employees exempt from tax and social security contributions?
Under § 3 No. 11a EStG, employers may grant their employees a Corona special payment of up to €1,500 free of tax and social security contributions. Any amount exceeding this threshold must be taxed as regular wages. The payment can be provided either as a cash benefit or as a benefit in kind.
As of: September 2020
Up to what amount are initial training costs deductible as special expenses?
Under § 10 Abs. 1 Nr. 7 EStG, costs for initial vocational training can only be claimed as special expenses up to a maximum of EUR 6,000 per calendar year. A deduction is also only possible if the taxpayer earns income in the same year.
As of: August 2023
Up to what amount are prevention courses provided by the employer tax-free?
Employers may pay for prevention courses for their employees, in addition to the wages owed, tax-free up to a maximum of EUR 500 per employee and calendar year. The legal basis is § 3 Nr. 34 EStG. The courses must serve to improve general health and promote workplace health.
As of: August 2016
Up to what capacity are small photovoltaic systems tax-exempt?
The tax exemption for photovoltaic systems applies uniformly to systems with a maximum permitted gross capacity of 30 kW (peak) per residential or commercial unit, regardless of the type of building. Per taxpayer or co-entrepreneurship, a total of no more than 100 kW (peak) may be installed. The previous limit of 15 kW (peak) for certain buildings no longer applies.
As of: December 2024
Up to what value are promotional gifts considered giveaways (Streuartikel)?
Promotional items with a net value of up to 10 euros per unit qualify as giveaways (Streuartikel). They are fully deductible as business expenses and are not subject to the flat-rate taxation under § 37b EStG.
As of: July 2013
Does the exemption from pension insurance contributions remain in effect if the mini-job is interrupted?
Yes, once granted, the exemption from pension insurance contributions applies for the entire duration of the mini-job and only ends when the employment is terminated. Interruptions due to parental leave or wage replacement benefits such as short-time work allowance (Kurzarbeitergeld) do not affect the exemption, provided the employment relationship continues.
As of: August 2021
Does the existing motor vehicle tax number remain valid after the transfer to the customs administration?
Yes, the existing tax number remains in place as a reference for queries and correspondence. While the customs administration does issue new tax numbers, these are initially used for internal purposes only. For taxpayers, the external identifier therefore does not change.
As of: January 2014
Can the tax office deny the input VAT deduction if the delivery date is not explicitly stated?
No. If the time of supply can be inferred from the invoice issue date, the tax office may not deny the input VAT deduction solely because a separate delivery date is missing. In such cases, the invoice is deemed formally compliant. The BFH clarified this in opposition to the stricter view of the tax authorities.
As of: June 2018
Is the tax office allowed to increase the flat-rate amounts for goods withdrawals on a lump-sum basis?
According to the Fiscal Court of Münster, a blanket increase of the official rates by additional amounts for non-food items is unlawful. Within its estimation authority, the tax office must provide a comprehensible explanation as to why the official flat rates are insufficient in the specific case. The mere fact that a food retailer also carries non-food items does not justify an additional estimate.
As of: August 2022
Can the tax office require a special certification of the course provider for the tax exemption to apply?
No. According to a ruling by the Finanzgericht Bremen (11 February 2016, 1 K 80/15), the tax office may not demand any certification of the provider beyond the statutory requirements, such as certification under the "Leitfaden Prävention" (Prevention Guideline). The only decisive factor is that the courses meet the requirements of the SGB V in terms of quality, designated purpose, and targeted focus.
As of: August 2016
Can the employer buy the mobile phone from the employee for a symbolic price?
Yes, the BFH has ruled that purchasing the mobile phone from the employee at a symbolic price (e.g. 1 to 6 euros) does not preclude the tax exemption under § 3 Nr. 45 EStG. The decisive factor is that a valid purchase agreement exists and the device thereby passes into the economic ownership of the employer. However, the tax authorities have so far taken a more restrictive view (LSt-Handbuch H 3.45, Example 2).
As of: February 2023
Can the employer reduce vacation entitlement due to granted unpaid special leave?
No. The BAG has clarified that the employer may not reduce the statutory vacation entitlement when granting an employee unpaid special leave at their request. There is no statutory basis for a reduction in such cases.
As of: August 2014
Can the restructuring decree still be applied to legacy cases prior to 8 February 2017?
No. In its rulings of 23 August 2017 (I R 52/14 and X R 38/15), the BFH held that the BMF's transitional rule for legacy cases also violates the principle of administrative legality. Accordingly, courts may not apply the restructuring decree even where creditors definitively waived their claims on or before 8 February 2017. Only the legislator could have enacted such a transitional rule.
As of: October 2017
Can the organizer of a Christmas market on public green space charge admission?
No. The Berlin Administrative Court ruled on 04.12.2014 that no admission fee may be charged for a Christmas market held on a public green and recreational area. Doing so would conflict with the designated purpose of such spaces, which are to serve everyone free of charge for recreation.
As of: December 2014
In the input VAT refund procedure, may the authority insist on a scan of the original invoice?
No. According to the FG Köln, the authority may not make the input VAT refund conditional on the original having been scanned. A scanned copy of the invoice is also sufficient as evidence and must be accepted for the refund.
As of: April 2016
May a driver hand over the mobile phone to a passenger while driving?
Yes, handing the mobile phone to a passenger is permissible according to the OLG Köln, provided the driver does not look at the display beforehand. Since no communication activity of the driver's own is being prepared, this does not constitute prohibited use of a phone at the wheel.
As of: December 2014
Can a GmbH shareholder be excluded without compensation due to a breach of duty?
No, even in cases of a (gross) violation of the company's interests or the shareholder's duties, compensation cannot generally be excluded. The BGH classifies such articles of association provisions as immoral pursuant to § 241 Nr. 4 AktG. Through capital contributions and possibly active involvement, the shareholder has contributed to the value of the share and may not lose this position without financial compensation.
As of: July 2014
May a female employee cut off a client's tie on Weiberfastnacht (Women's Carnival Day)?
Only with the tie wearer's express consent. The Amtsgericht Essen (Az. 20C 691/87) ruled that unilaterally cutting off a tie constitutes property damage and the loss must be compensated. Carnival tradition does not justify interference with someone else's property.
As of: February 2014
Can a previously promised voluntary special payment be converted into a Corona bonus?
No. If an entitlement to a special payment already existed before 1 March 2020 — for example, through a contractual provision, even if labeled as voluntary — it cannot be converted into a Corona bonus. Such a conversion would constitute a harmful salary conversion. However, genuinely voluntary payments without any entitlement may be replaced by the Corona bonus.
As of: September 2020
May another adult live in the single parent's household?
Generally no, as the tax office will then assume a shared household, causing the entitlement to the relief amount to lapse. Exceptions apply to adults for whom Kindergeld or the Kinderfreibetrag is still granted. The entitlement is also preserved if it can be proven that no shared household exists (e.g., through separate living areas).
As of: December 2021
Do the flat-rate amounts for in-kind withdrawals also cover non-food items in food retail?
According to the ruling of the Münster Tax Court (judgment of 29 April 2022, 10 K 1297/20), the flat rate for the food and beverage retail sector is sufficient and also covers withdrawals of non-food items such as cleaning supplies, hygiene products, and cosmetics. An additional estimate by the tax office for non-food items is not permitted. The court reasoned that, based on general experience, food retailers typically also carry such items in their product range.
As of: August 2022
Are employees allowed to stay away from work out of fear of infection?
No. Employees may only stay away from work if they are actually unable to work. A mere fear of possible infection at the workplace is not sufficient. Unexcused absence may result in employment law consequences such as a formal warning or termination.
As of: March 2020
Can the results of a time-series comparison be adopted without scrutiny to determine the amount of an additional estimate?
No. If no other estimation methods are available, the results may not be adopted without review, but at most serve as an indication for an additional estimate. Only if the material inaccuracy of the bookkeeping is already established based on other findings may the results of a technically correctly performed time-series comparison also be used to determine the amount.
As of: August 2015
Can truck drivers claim overnight allowances when sleeping in the cab?
No. According to the BFH ruling of 28.03.2012 (Az. VI R 48/11), truck drivers who spend the night in the sleeper cab of their truck may not apply the lump-sum allowances for overnight stays on foreign business trips. If no individual receipts of the actual costs are available, the expenses must be estimated.
As of: December 2012
Are solo self-employed individuals allowed to claim a flat rate for living expenses?
Yes, solo self-employed individuals, freelancers, and owners of sole proprietorships and partnerships actively working in the business may claim a one-time flat rate of EUR 2,000 for the months of March and April to cover living expenses or a notional entrepreneur's salary. Requirements are: an initial application filed in March or April 2020, no claim for ALG II (unemployment benefit II) for these months, and no use of the emergency programme for artists.
As of: May 2020
Can promotional giveaways be subject to flat-rate taxation to preserve the EUR 44 threshold?
Yes. According to the BMF circular dated 19 May 2015, the employer may subject a promotional giveaway to the flat-rate tax under § 37b EStG even if this would otherwise cause the EUR 44 monthly threshold to be exceeded. This allows other benefits in kind to be granted tax-free within the threshold.
As of: August 2016
Are insurance agents permitted to set up a provision for the follow-up servicing of contracts?
According to the ruling of the FG Münster, setting up a provision for the follow-up servicing of insurance contracts is generally not permitted. Even if the agent is obliged to maintain ongoing contact with clients, this alone is not sufficient. The prerequisite would be a contractually clear and enforceable follow-up servicing obligation.
As of: December 2016
Can old, non-upgradable cash registers still be used?
Yes. For cash registers acquired after 25 November 2010 and before 1 January 2020 that meet the previous requirements but cannot be technically upgraded, a transitional period applies until 31 December 2022. The relevant evidence must be available and attached to the system documentation.
As of: November 2019
Can refund interest that has already been assessed be retroactively reduced to the taxpayer's detriment?
No. Under § 176 Abs. 1 Nr. 1 AO (protection of legitimate expectations), a tax assessment may not be amended or revoked to the taxpayer's detriment. Therefore, if refund interest has already been assessed in the taxpayer's favor under the previous law, it may not be retroactively reduced by the new regulation.
As of: May 2022
May non-profit organizations send donation receipts by email?
Yes. According to the BMF circular dated 6 February 2017 (ref.: IV C 4 – S 2223/07/0012), non-profit organizations are free to transmit donation receipts by email. Traditional delivery by letter remains permissible as well.
As of: February 2017