Taking advantage of tax benefits: e-bikes Background Over the last few years, electric bicycles (e-bikes or ebikes) in particular have become increasingly popular alongside classic bicycles. At the beginning of 2015, there were still electric bikes in 1.5 million households. At the beginning of 2020, 4.3 million households in Germany already owned at least one electric bike. This means that […]
Background A number of our international clients work in Germany for a Germany-based company but their families live in another EU country. Question is how this is being income taxed in Germany and the other EY country, as well as in which country social security obligations have to be made. We look for answers. Example The situation A typical case […]
Not to miss: Application for waiver of property tax only possible until March 31, 2021 Due to current events, we would like to inform you that it is possible to reduce the property tax for 2020 retrospectively within the scope of a waiver application. The following requirements must be met: You are the owner of a developed property You rent […]
From Jan 1, 2021: Depreciation on computer hardware and software over 1 year possible BACKGROUND Computer hardware and software are subject to increasingly rapid change due to rapid technological progress. However, the normal useful life, which is the basis for depreciation in accordance with Section 7 of the German Income Tax Act (EStG), has not been reviewed for these assets […]
From January 1, 2021, certain questionnaires for tax registration must be submitted electronically Taxpayers must provide the relevant tax office with further information on the legal and factual circumstances relevant to taxation within one month of opening an agricultural, forestry or commercial business or commencing a freelance activity. Regulation until December 31, 2020 Previously, when notifying the opening of a […]
Under 4.16 of the FAQ of the Federal Ministry of Economics, (in German language only) a note was included that the Bridging Assistance (Corona-Überbrückungshilfe) is limited to a maximum of 90% of uncovered fixed costs. This means that uncovered fixed costs in the context of Bridging Assistance II are the losses that companies report in their profit and loss accounts […]
Submission deadlines for 2019 tax returns An extension of the filing deadlines for 2019 tax returns prepared by members of the tax advisory professions until March 31, 2021 has already been approved by the supreme tax authorities of the German federal and state governments. And there may also be a breakthrough with regard to a further extension of the submission […]
BACKGROUND The United Kingdom (UK) left the European Union (EU) on February 1, 2020, with a transitional phase during which EU law will continue to apply in and vis-à-vis the UK. The transitional phase stipulated in the withdrawal agreement ends on December 31, 2020, meaning that the UK will be a “third country” from January 1, 2021 and thus no […]
Dear customer, dear business friend As you can read in the press, public life in Germany will be severely cut back in November. The goal is to stop the uncontrolled spread of the corona virus. To this end, various regulations will apply from Monday, November 2, 2020, which will also affect our tax office. Our tax office is well prepared […]
Hintergrund Das Bundesfinanzministerium (BMF) ist der Auffassung, dass Aufwendungen für das häusliche Arbeitszimmer während der Corona-Pandemie grundsätzlich nicht abzugsfähig sind und ausnahmsweise nur dann abgezogen werden können, wenn das häusliche Arbeitszimmer den Mittelpunkt der gesamten betrieblichen und beruflichen Betätigung bildet. Es bestehen dennoch auch ohne Vorliegen eines Mittelpunktfalls weitere Abzugsmöglichkeiten für Heimarbeit sowie Gestaltungsmöglichkeiten im Bereich der Gewährung von Bürokostenzuschüssen […]
