Every year, there are changes in the tax law. Whether higher lump sums, adjusted allowances or tax relief - with all the new rules, taxpayers can quickly lose track. We have compiled a list of all changes for the 2018 tax year.
Good news for those who like to postpone filing their tax returns: for the 2018 tax year, there is a new deadline. Up to now, you have had until 31.05. of the year to file your tax return. From now on, taxpayers have until 31.07. of each subsequent year. If support is required from a tax consultant, the deadline is only 28.02. or 29.02. the year after next.
There are not only new deadlines but also new fees for late returns. If tax returns are filed late, the surcharge per month of late delivery is 0.25 per cent of the tax deducted by prepayments and deductible tax credits, but not less than €25 per month.
In order to avoid a "cold progression", the income limits for all tax rates are raised by 1.65 per cent. However, the principle is still valid: those who earn more must also pay more taxes.
Until now, low-value assets could only be written off in one fell swoop up to the limit of €410. For the tax year 2018, however, an amount of €800 applies. This will, therefore, apply to all purchases made after 31.12.2017.
Almost every family can take advantage of child benefit. This will be increased to €194 in 2018 for the first and second child. For the third child, it will be €200 and for each additional offspring, €225 per month will be transferred for the tax year 2018.
The basic allowance will be raised to €9,000 for 2018. Those who earn more must pay taxes on their income. Married people can use the double amount due to collective assessment in the tax return.
There is a significant change for the tax year 2018. From now on, the so-called document template obligation no longer applies but the documents are required to be retained. This means that proofs do not have to be sent directly to the tax office. However, it is still important that appropriate evidence should be available if required; the tax officer can still request documentary proof, which should be submitted later. The aim is to keep the bureaucratic effort as low as possible.