deen
deen

New domestic relocation expense allowances as of 01.04.2021 or 01.04.2022

In the case of relocations for work-related reasons, new flat rates for relocation-related tuition costs and other relocation expenses apply retroactively for domestic relocations from 01.04.2021 and from 01.04.2022.

  Relocation until 01.06.2020 New: Relocation from 01.04.2021 New: Relocation from 01.04.2022
Maximum amount for children’s additional tuition due to relocation 1.146 Euro 1.160 Euro 1.181 Euro
Flat rate for other moving expenses  
married 1.433 2) Euro 1.450 2) Euro 1.476 2) Euro
single 860 Euro 870 Euro 886 Euro
Other person moving with you 1) 573 Euro 580 Euro 590 Euro
Employee who did not have his own apartment or did not re-establish his own apartment
Married or single 172 Euro 174 Euro 177 Euro
1) e.g. children; 2) For the employee (=entitled person), the same flat rate now applies as for single persons; the spouse receives the flat rate for other accompanying persons. In the overview, the contributions have been added.

(BMF, Letter from 21.07.2021, Az. IV C 5 – S2353/20/1004:002, Abruf-Nr. 223718)

These new values also apply retroactively. If the employer has reimbursed the lump sums for other relocation expenses in the amount of the tax lump sums, he can pay the increase amounts tax-free in arrears. If the employer has reimbursed higher lump sums than the tax lump sums, it may take the retroactive increase in the lump sums into account in the salary statements

Important: These options can only be implemented if the employer has not yet transmitted the electronic income tax statement. If a correction is no longer possible or if the employer refrains from a recalculation due to the insignificance of the amounts, the employee is left with the approach via the 2021 income tax assessment. Here, the employee can then reduce the taxable gross salary by the over-taxed portion of the lump sum.

Related Posts

IAC International Assignment Consulting

Cross-border temporary agency work: ECJ concretises the criterion of usual activity

Due to generally much lower tax rates than in Western European countries, temporary workers (especially from Eastern European countries) are covered by social security in the country of establishment of the temporary employment agency and...
Globus

Expatriates in war regions

Important advice for companies In the current crisis surrounding the Ukraine-Russia war, it is becoming clear how geopolitical risks and changing security environments are influencing the danger situation for expatriates. Companies have an obligation to...

Latest blogs on global assignments

Accident with job bike can be a work-related accident
3. August 2022
Minimum wage increased to € 10,45 by 1 July 2022
3. August 2022
Cross-border temporary agency work: ECJ concretises the criterion of usual activity
2. August 2022
New version of the Foreign Activities Decree
29. July 2022
EU Parliament approves global minimum tax rate
14. July 2022
Employment abroad: Fee-based contract as an alternative to an assignment under an employment contract
12. July 2022

Get the latest information on "International Personnel Management - assignments worldwide".

X
X
X