From 1 January 2013, the electronic income tax procedure will replace the familiar paper tax card. Employers will receive their employees' data from the tax authorities electronically. Every employee should make sure to check at the turn of the year whether their personal income tax deduction features have been correctly stored by the tax office, as this determines how much income tax is withheld monthly from gross salary. The check can be carried out online at www.elsteronline.de. Alternatively, you can contact your local tax office directly to verify the data. Please also note that the allowances entered on the paper tax card are no longer valid. If, for example, you wish to take your commute between home and workplace into account on a monthly basis for tax purposes and thus receive a higher net income, you must remember to reapply for the tax allowances for 2013. You can either submit the application to the tax office in writing or contact your tax office directly.
Frequently asked questions
Frequently asked questions
What changes from 01.01.2013 in the wage tax procedure?
As of 01.01.2013, the paper wage tax card will be replaced by the electronic wage tax procedure (ELStAM). Employers receive their employees' wage tax deduction features electronically, directly from the tax authorities. Submission of a paper card is therefore no longer required.
Why should employees review their electronic wage tax deduction features?
The stored data (e.g. tax class, child allowances, religious affiliation) determine how much wage tax is withheld each month from gross salary. Incorrect data lead to wrong deductions and therefore to a net salary that is too low or too high. An early review helps avoid subsequent corrections and back payments.
How can employees verify their wage tax deduction details (Lohnsteuerabzugsmerkmale)?
The verification can be carried out online via the portal www.elsteronline.de. Alternatively, employees can contact their local tax office directly to review the stored data and have it corrected if necessary.
Do the allowances entered on the old paper income tax card remain valid?
No, the allowances entered on the paper income tax card are no longer valid. Anyone who wishes to continue having allowances – for example, for commuting between home and workplace – considered each month in their wage tax deduction must reapply for them for 2013 at the tax office.
How are tax allowances for 2013 reapplied for?
The application for wage tax reduction must be filed with the competent tax office. This can be done in writing using the official form or in person at the tax office. Only after approval are the allowances recorded in the electronic wage tax deduction features (ELStAM).