Due to the corona pandemic, many people no longer work in the office, but from their home office. The Bundestag has now decided on a flat-rate tax rate for the costs incurred.
Those who work from home during the corona crisis should be able to declare their expenses more easily in their tax return. The Bundestag decided on Wednesday evening a flat-rate home office of a maximum of 600 euros per year. It should apply to tax returns for 2020 and 2021 – after that it is hoped that the corona pandemic can be under control and most of them can return to their jobs. The Federal Council still has to give its approval on Friday for the entry into force of the regulation.
For each day at home, 5 euros is deducted from the tax calculation, for a maximum of 120 days per year. This amount is deducted from taxable income, reducing the amount of tax due. However, the flat rate at the home office is one of the advertising costs, for which all taxpayers receive a flat rate of 1,000 euros. Only those who spend more than 1,000 euros here will benefit from the measure.
Further tax rules decided
In the same law, the Bundestag also extended the current scheme, according to which employer subsidies for short-time working benefits remain tax-free. In addition, a tax regime has been changed for apartments that are rented out at particularly favorable prices. Until now, landlords could only claim advertising costs if the rent amounted to at least 60 percent of the locally comparable rent. This limit has now dropped to 50 percent. This is to prevent landlords from raising rents for tax reasons.
In addition, volunteers receive tax relief. The tax-free fixed rate for trainers, from which youth coaches in sports clubs can benefit, will increase from 2,400 euros to 3,000 euros per year in the coming year. In addition, an expense allowance for voluntary work of a maximum of 840 euros per year will remain tax-free in the future and not only – as now – up to a limit of 720 euros.