Glossary of Tax Terms

It’s easy to get overwhelmed when confronted with filing your tax return. Nobody likes dealing with tons of paperwork and confusing bureaucratic terms. In reality, it’s easier than most people think - and we’re here to help!

Those who file voluntarily typically benefit the most from filing their taxes. In fact, most receive a tax refund of €1.063 euros on average, and if they don’t file, this refund is kept by the tax office (Finanzamt)!

We’ve made a glossary of all important tax terms to help you navigate the tricky technical jargon. From work equipment (Arbeitsmittel) to inheritance tax (Erbschaftsteuer) - all your questions will be answered here.

All you need to know about adding your pension insurance to your income tax returns

All you need to know about adding your pension insurance to your income tax returns

These Insurance Policies Are Tax-Advantaged (steuerbegünstige Versicherungen)

These Insurance Policies Are Tax-Advantaged (steuerbegünstige Versicherungen)

How Is My Taxable Income Calculated?

How Is My Taxable Income Calculated?

All you need to know about social insurance (Sozialversicherung)

All you need to know about social insurance (Sozialversicherung)

Tax Return: Renting out your flat temporarily (Zwischenmiete)

Tax Return: Renting out your flat temporarily (Zwischenmiete)

Who has to file a VAT reurn? (Umsatzsteuervoranmeldung)

Who has to file a VAT reurn? (Umsatzsteuervoranmeldung)

Operating expenses in the tax return (Betriebsausgaben)

Operating expenses in the tax return (Betriebsausgaben)

Retention periods for tax documentation (Aufbewahrungsfrist Steuererklärung)

Retention periods for tax documentation (Aufbewahrungsfrist Steuererklärung)

How does volunteering affect your tax return? (Ehrenamt)

How does volunteering affect your tax return? (Ehrenamt)

Deductible Expenses in Your Tax Return (Abschreibungen)

Deductible Expenses in Your Tax Return (Abschreibungen)

How to Deduct Extraordinary Expenses (Außergewöhnliche Belastungen)

How to Deduct Extraordinary Expenses (Außergewöhnliche Belastungen)

What is a voluntary health insurance? (Freiwillige Krankenversicherung)

What is a voluntary health insurance? (Freiwillige Krankenversicherung)

Claim Medical Expenses on your Tax Return (Krankheitskosten)

Claim Medical Expenses on your Tax Return (Krankheitskosten)

What tax classes are there in Germany?

What tax classes are there in Germany?

What is a proviso safeguarding progression (Progressionsvorbehalt)?

What is a proviso safeguarding progression (Progressionsvorbehalt)?

Tax Declaration Forms: An Overview

Tax Declaration Forms: An Overview

Do social benefits have to be stated in the tax return? (Sozialersatzleistungen - Hartz IV, ALG I, ALG II)

Do social benefits have to be stated in the tax return? (Sozialersatzleistungen - Hartz IV, ALG I, ALG II)