Filing and Changes to Tax Returns for 2024: A Comprehensive Guide
Prepare and submit your 2024 tax filing: Crucial details to consider - 2024 Tax Returns: Prepare Yourself for Submissions
Swipe your tax worries away! Here's the lowdown on filing your taxes for 2024. If you're chomping at the bit to cash in on that overdue tax refund, go ahead and start early. For the tax year 2024, several tax benefits are available for income tax, with both automatic and application-based options. Let's dive in and brush up on deadlines, updates, and tips!
What's the deadline for filing the 2024 tax return?
- The deadline for the general public to file has moved up a month from 2023: Submit your 2024 tax return by Thursday, July 31, 2025. (August 31 falls on a weekend, so the deadline shifted to the next business day.)
- If you seek help from a tax consultant or Lohnsteuerhilfeverein, you have more time – the deadline is April 30, 2026. However, the tax office may request an earlier submission in exceptional cases.
- If you submit your tax return voluntarily (even though it's not required), you have up to four years to do so for the 2024 tax year. Missing the deadline could lead to late fees, so make sure to stay ahead of the game.
Can I extend the deadline?
- Exceptional deadline extensions are rarely granted unless the reasons aren't self-inflicted. If you need more time to file, you can request a deadline extension informally from the responsible tax office. Potential reasons may include illness, lengthy travels, or outstanding documents. The tax office will communicate its decision in writing and may demand an on-time submission if essential documents are missing.
Who needs to file a tax return?
- You need to file a tax return if you're a couple with tax classes 3/5 or 4 with a factor, employed with tax class 6, self-employed, received unemployment benefits, untaxed secondary income of more than 410 euros, or are a pensioner with income above the basic allowance of 11,784 euros. Filing voluntarily can often lead to a refund of overpaid taxes, with the average tax refund hovering around 1,100 euros.
Paper vs Digital: How to Submit Your Tax Return
- While submitting forms by post is still possible for employees and pensioners without self-employment income, tax offices heavily favor the digital route as the standard. Use the free online portal "Elster" of the tax offices to fill out and send your tax return without paper. Going digital is the way of the future, as receipts no longer need to be sent directly; they only have to be presented upon the tax office's request.
Commercial Tax Programs and Apps: The Smart Way to File
- Tax software or apps may cost between 20 and 45 euros but offer an easy way to complete your tax return. They provide helpful tips and ensure that nothing important is overlooked, making the price well worth it. The test winner at Stiftung Warentest is Wiso, but other tax programs also perform impressively.
Hire a Pro: Seek Help from a Tax Assistance Association or Tax Consultant
- If you're not confident in handling your tax return alone, consider enlisting the help of a tax assistance association or tax consultant. This typically involves a three-digit sum, and the costs depend on the complexity of your case and income. Tax assistance associations are cheaper but are only open to employees, civil servants, and pensioners (not self-employed).
What's New in the Tax Year 2024?
- The federal government has introduced several tax benefits for the tax year 2024, including:
- Increased basic tax-free allowance: Up to this amount, no taxes are due on income. The raise moved from 10,908 euros to 11,784 euros.
- Child tax allowance boost: This will increase by 600 euros for the tax year 2024, up to 6,612 euros (3,306 euros per parent). Parents can also benefit from child benefits of 250 euros per child.
- Increase in child tax allowance and BEA allowance: This no longer diminishes if the child resides in an EU member state.
- Raised Mini-job threshold: This will increase to 538 euros per month for the tax year 2024 due to the minimum wage increase to 12.41 euros per hour (set to increase further to 12.82 euros in 2025).
- Enhanced Costs for Advertising: Higher costs for moving and tutoring can be claimed as advertising expenses.
- Aid for Flood Victims: Various reliefs for those affected by the floods in 2024 include deferrals, special depreciation for replacement acquisitions, and simplified evidence for donations.
- Coronavirus and Ukraine Aid Donations: These donations can be deducted as special expenses, up to 20% of income.
The community institution could provide valuable assistance in understanding the changes to personal-finance and tax returns for 2024, particularly by explaining the new tax benefits such as the increased basic tax-free allowance, child tax allowance boost, and aid for flood victims. To ensure optimal handling of taxes at the institution of the place of residence or work, one might consider utilizing commercial tax programs or hiring a tax consultant to avoid oversights and ensure compliance.
