Exam stress, living in a shared flat, part-time jobs - very few students or trainees still want to worry about their tax returns. It can definitely be worthwhile.
Berlin (dpa / tmn) - Most students do not have a lot of financial scope. After all, they usually spend their time at university. Many only make money on the side. It is no wonder that very few think about making their tax returns.
However, the effort can be worth it: This is especially recommended if you are in a second degree and have high expenses, says Isabel Klocke from the taxpayers' association.
First degree tax disadvantage
For a first degree, however, it depends on how much the students earn with their part-time jobs. In this case, the expenses for the study can only be taken into account as special expenses up to a maximum of 6,000 euros per year in the tax return.
Special expenses may also only be claimed in the year in which the costs are incurred. If someone has no income during this time, he will therefore not save any taxes. Loss carryforwards to later professional years are not possible.
It was only in November 2019 that the Federal Constitutional Court confirmed that students and trainees in their first degree are not allowed to deduct advertising costs. The Federal Finance Court had considered this to be unconstitutional.
The constitutional judges justified the judgment with the fact that initial training offers the opportunity to acquire general competencies that are not necessarily necessary for a future specific profession (Az .: 2 BvL.23 / 14 and Az .: 2 BvL. 24/14)
Advertising costs make the difference
In the case of secondary training, the tax office recognizes the expenditure as advertising costs. This includes all costs that arise in order to be able to study at all, explains Erich Nöll from the Federal Association of Wage Tax Assistance Associations (BVL).
Examples include costs for the semester ticket, specialist literature or the purchase of necessary hardware or software. The tax office also recognizes material costs that are incurred in the course of architecture studies, adds Klocke.
The advantage: The advertising costs do not necessarily have to be offset against income. Students can apply for a loss carryforward for later years when higher income is expected and thus achieve greater tax savings.
Advertising costs can be claimed indefinitely
Unlike special editions, advertising costs can also be claimed indefinitely. According to Klocke, making a loss pays off especially in the case of private master's programs with high tuition fees, stays abroad, privately financed language tests or tutoring. This also includes costs for internships that were completed as part of the second training.
The loss assessment can be submitted up to seven years later. "But I recommend submitting the income tax return either directly or retrospectively within four years," says Klocke. If the losses have already been determined in a tax return each year, these notices will suffice later. For subsequent findings, students and trainees must keep the relevant documents and invoices.
Anyone who does a dual study program or an apprenticeship with the appropriate remuneration is entitled to a lump sum for advertising costs of EUR 1,000 per year, says Nöll. If the advertising costs exceed this value, employees must list them individually.
Not everyone is obliged to submit it
Whether students and trainees are required to submit a tax return depends on the individual case. The decisive factors include, for example, the number of employers, income from tenancies, self-employment or the tax bracket for students who are already married, Klocke lists.
Anyone who is obliged to submit the income tax return for 2019 by July 31, 2020. Voluntary income tax returns, however, can be submitted up to four years later.
Info box: What counts as first and second degree
The tax office does not treat first degree and second degree equally. But what counts as first and second degree? "Initial training is training with a duration of at least twelve months and a final examination," explains Erich Nöll from the Federal Association of Wage Tax Assistance Associations (BVL). This also includes Bachelor courses. Shorter training courses, such as for example as an ambulance driver, are not included.
Degree programs that are based on a completed bachelor's degree or that are preceded by a completed first vocational training are considered secondary training. This also includes a second bachelor's degree or vocational training.
Notification from the Federal Constitutional Court