Changes in the 2023 tax return: What you as a taxpayer need to consider

Changes in the 2023 tax return: What you as a taxpayer need to consider

According to a report by www.ruhr24.de,

With the turn of the year, the obligation to submit a tax return arises again. At the same time, innovations in the systems come into force. A look at the tax return forms reveals: Some things have been restructured and revised - like Appendix N. According to Christina Georgiadis from the Vereinigte Lohnsteuerhilfe e. V. (VLH) only offer two options for deducting “business expenses for working from home” from your taxes. Costs for the study can be deducted in full if it forms the core of the professional activity, or taxpayers can claim a flat rate of 1,260 euros for the study - a maximum of 210 days multiplied by 6 euros per day.

In addition, cryptocurrency is subject to income tax, as stated in a ruling by the Federal Finance Court (BFH) dated February 14, 2023. This means that profits from trading cryptocurrencies must be taxed if they are held for less than twelve months.

Appendix V on rental income has also become more extensive, as it has been expanded to four pages. However, payments such as the energy flat rate and the “possibility to enter the power of attorney” are no longer applicable. Consumers have until Monday, September 2, 2024 to prepare their own tax return for 2023.

These changes in tax return forms may have a significant impact on the financial market and industry. The expansion of Appendix V on rental income may lead to increased demand for advisory services in the area of ​​tax treatment of rental income. The impact of cryptocurrency income tax liability may impact cryptocurrency markets as investors are forced to meet their tax obligations and must factor this into their future investment decisions. Increasing the home office allowance could result in more taxpayers claiming this deduction, which in turn may impact their individual tax burden and disposable income.

Overall, these changes in tax return forms are important aspects that must be carefully considered and analyzed by financial professionals and investors in order to make informed financial decisions.