The UAP Group

Great News and some more information on our acquisition of Alltrust and exchanged on Rowanmoor SIPP business.

Germany to increase home working allowance from 2023.

Anyone who works from home in Germany can look forward to more tax relief next year, after the federal government opted to continue and expand its home office flat rate, along with various other tax improvements on pension contributions and energy.

Germany extends 5-euro-per-day home office tax rebate
As it does every year, the German federal government this week implemented its Annual Tax Act - a kind of “article law” that bundles together multiple different tax law regulations to change a large number of laws in one go, for instance in response to new requirements, EU initiatives and case law developments.
Alongside a lot of dense, complicated legal text, the Annual Tax Act 2022 contains some clauses that should interest expat workers in Germany.

Pension contributions to be fully tax-deductible from 2023
The government also decided to give extra financial relief to workers by bringing forward its policy of making pension contributions fully tax-deductible. This policy is intended to prevent the double taxation of pensions by making contributions tax-deductible (saving workers money on their tax bill), while also gradually making pensions fully taxable once they start being drawn. This was originally supposed to happen in 2025, but this is being brought forward to 2023.

https://www.iamexpat.de/expat-info/german-expat-news/germany-increase-home-working-allowance-2023

For more information on this story and how the German Government will be doing more to assist home office workers, please click on the link above.