Basic tax-free allowance (Grundfreibetrag)
The Grundfreibetrag is theannual basic allowance, which is tax-free. So if you earned less than10,908euros after deduction of costs or lump sums, you do not pay income tax. Double the amounts apply to married couples.
How do you get it?Automatically. Your employer takes it into account when calculating your income tax.
Childcare allowance (Kinderfreibetrag)
The state relieves families with children with the childcare allowance. In the year2023, parents are entitled to a tax allowance of9,312euros per child. This amount consists of:
- 2,928 euros for care, education and training
- 5,620 euros for the material subsistence level of the child
In the case of individually assessed couples, each partner is entitled to half the child allowance.
How do I get it?The tax allowance will only be taken into account by the tax office if the tax savings from the deduction of the allowance are higher than the child benefit paid out. This is usually the case with a high tax rate, i.e. a high income, and is indicated when the tax return is submitted using the cheaper check or ‘Günstigerprüfung’ checked automatically. (More information at:Apply for child benefit or child allowance)
Important fixed deductions at a glance
Single parents are usually more financially burdened. Therefore, for2023, as in the previous year, they can deduct a tax relief amount of4,260euros from their income. An amount of240euros is added for each additional child living in the household.
How do I get it?Simply apply for it when you submit your tax return. If you have the tax class II, it will automatically be taken into account in your income tax calculation.
Relocation allowance (Umzugskostenpauschale)
Are you a volunteer? for Do you engage in voluntary activities in a youth club or an animal protection association? Then, you have2023an annual tax allowance of870euros.
How do I get it?You enter the voluntary work allowance in the Taxfix question flow when prompted or enter it in your tax return.
