The tax return presents us with an annoying challenge every year.
But many people don't realize how much they could actually save.
Most people dread the annual tax return.
Complicated bureaucracy and documents that are difficult to understand discourage many consumers and mean that many people prefer not to file their tax return at all, rather than claiming the costs incurred.
It is extremely worthwhile, for example, to take the utility bill into account when filing your tax return.
Anyone who had to pay for repair or maintenance work on their house or apartment in the last year could receive a refund of several thousand euros.
However, there are a few important things to keep in mind.
Only selected trades and so-called household-related services are tax-deductible.
This includes renovation work on the property as well as cleaning and winter services as well as gardening.
However, not all cost items are covered here either.
If you want to get money back from the tax office, you should definitely find out about the individual regulations.
You can read here, for example, in which cases it is worthwhile for students to submit a tax return.
On the other hand, you can find out here what you have to consider as a pensioner when filing your tax return.
Tax Return: Basic Laws for Declaring Utility Expenses
The Income Tax Act regulates what can and cannot be deducted in the annual tax return.
If you prepare your documents without the help of a tax advisor, you are very likely leaving a lot of money with the state.
Because, among other things, the ancillary costs paid can be claimed in the tax return.
Up to 20 percent of certain ancillary costs are potentially deducted from income tax, with clearly formulated rules applying: They must be household-related services or craftsmen's services that do not exceed their fixed maximum amounts.
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Do you include your ancillary cost statement in your tax return?
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Household services are everything to do with the house and garden: cleaning the building and windows, gardening and winter services, as well as pest control or financing a caretaker.
Costs incurred by craftsmen's services can also be stated in the tax return at the end of the year.
However, not all repairs can be deducted.
Above all, rather infrequent maintenance work, for example on heating systems, fire extinguishers, elevators, chimneys and other required and commonly used parts of the house, can be stated as additional costs.
One-off cleaning actions for the gutter or the drain, as well as the removal of graffiti, are also part of the craftsmen's costs that can be deducted from the tax.
Tax return: Further information on the declaration of additional costs
Unfortunately, stating the ancillary costs — as is usual for the tax return — is not always an easy task.
Because not all individual items of the operating costs incurred can be claimed in the annual fee.
For example, the labor costs for craftsman assignments and other services must be stated without VAT.
Material, delivery or goods costs are not tax deductible.
Machine costs, travel costs and costs for consumables and disposal, on the other hand, can be included in the labor costs.
The regular waste disposal and property management, in turn, must be borne entirely by the consumer himself.
Tax tricks: How to save money on your tax return
Tax tricks: How to save money on your tax return
Similar regulations apply to tenants for independently commissioned renovation and modernization work.
However, only tradesmen's costs relating to the rental property itself can be stated in the tax return.
These include, for example, repairs to the roof, facade, floor coverings, walls, doors and windows.
It is particularly important to think about the upcoming tax return when issuing the invoice for commissioned work.
The various cost items must be clearly identified in the receipt, as this is the only way for the tax office to determine the amount of the reimbursement.
Attention: If you pay your craftsmen in cash, you will experience a nasty surprise.
Because the tax office only accepts costs paid by bank transfer or direct debit.
Additional costs in the tax return: How much money does it end up with?
A total of 6,000 euros for craftsman costs can be claimed in the income tax return.
The maximum amount of potential reimbursement is therefore 1,200 euros.
Household-related services, on the other hand, could prove to be a real gold mine: taxpayers can claim costs of up to 20,000 euros in their tax return.
If these are fully recognized by the tax office, this results in a repayment of 4,000 euros.
By stating the operating and ancillary costs, up to 5,200 euros can be deducted from tax annually.
Unfortunately, heating costs are only suitable for a repayment to a limited extent.
Because only one-off work in connection with the heating system can be stated in the tax return.
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