Do you want to save money for your offspring?
Don't forget the savings allowance
Created: 2022-02-14Updated: 2022-02-14 5:19 PM
By: Anne Hund
How to: With a few simple tips, you can save money in some places.
©Louis Christian/Imago
In addition to building wealth for the children, the investment could also be interesting from a tax point of view, experts say.
Many mothers and fathers
invest money for their
children .
You should know: Just like adults, children also have a
savings allowance
- capital gains remain
tax-free up to 801 euros
, as the Association of German Banks reports on its website.
"Up to this amount, the parents, who as legal representatives must also open the account in the child's name, can issue separate exemption orders for the child," the statement continues.
In this way, capital gains could be paid out “up to the amount of the exemption order issued by the bank without withholding capital gains tax”.
You can also find out more about other savings tips here*.
Investment: Children also have a savings allowance
In addition, children also have a
basic
tax allowance , as the experts describe.
Since the beginning of the year, the basic allowance has been €9,984.
In 2021 it was still 9,744 euros, as the German Press Agency (dpa) also describes in this context.
“Since children generally have no income of their own and young people only have a small income, if any, this amount is usually not exceeded;
Therefore, no taxes are incurred," says the statement from the Association of German Banks.
In order to be able to claim the basic allowance, the parents would have to submit an
income tax
return for the child "so that the tax office can reimburse the capital gains tax withheld by the bank".
Also interesting:
why an ETF savings plan is worthwhile for children
Apply for a non-assessment certificate
In the
tax return
, the capital gains are attributed to the child and not to the parents for tax purposes, which is also an important note according to the announcement.
"There is a strict separation of assets." Parents would also have the opportunity to apply for a so-called non
-assessment certificate from the tax office for their children
, as the dpa report on the subject also says - the application can be processed in the form management system of the Download Federal Finance Administration.
If the document is presented to the financial institution, this credits all
capital gains without tax deduction
.
The
NV certificate
According to dpa, it is issued for three years and ends at the end of the third year.
If this time is over, a new application must be made.
(ahu) *Merkur.de is an offer from IPPEN.MEDIA.
