Most of the expats working in Germany would have transferred some amount of money to their family in their home country. In such cases, did you know that this money could be accounted in the tax return process and you can get back the tax contribution for it?.
If not, we will give a quick intro about “Anlage Unterhalt”.
Basically, the monetary support given to your family such as your mother, father, grandparents or other beloved relatives back in your home country when you are working in Germany, can be accounted for in the tax return.
The tax office has categorized countries in four groups. Based on which group your home country is a part of, you get different returns.
For the countries belonging to Group 1, up to 8820 Euros are considered, for Group 2 – 6615 Euros, Group 3 – 4410 Euros, and Group 4 – 2205 Euros. Check here to find the exact group of your home country.
Before we go to the most important segment, which are the tips to efficiently account for the money transferred to your home country, we would like to ask you to give us a short feedback on the upcoming features of MyHelpBuddy!.
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Note: The tips and info shared in the article are only based on personal experiences of our buddies and not to be considered as expert, legal or professional advice. Please consult the relevant advisor, Finanzamt or expert during your tax return as it varies for every individual cases.
Other references: berlin.de, elster.de, steuren.de