Income tax law: tax rules becoming more and more complicated

Income tax law: tax rules becoming more and more complicated

The German tax system is a complex network of rules and regulations based on 121 paragraphs of the Income Tax Act. With over 280 A4 pages, it has become incomprehensible for many citizens. This leads to more and more Germans accidentally paying taxes that are too high. Since 1980, the length of the legal text has doubled and now contains over 200,000 words.

The complexity of the tax system can lead to errors that cause citizens to pay more taxes than required. This particularly affects those who do not have specific expertise in tax law. The increase in legal texts over the years has made the situation even worse as it has become more difficult to keep track and apply the relevant information correctly.

To avoid such mistakes, it is advisable to seek professional help from tax advisors or experts. These can help correctly calculate tax deductions and ensure that citizens do not pay more taxes than required. It is important that the government takes measures to simplify the tax system and help citizens to correctly fulfill their tax obligations.

Given the growing complexity and length of the Income Tax Act, it is crucial that the government takes measures to promote transparency and understandability. This allows citizens to be better informed and avoid unnecessary tax burdens. A review of the current legal situation should be carried out in order to make possible simplifications and adjustments that will make it easier for taxpayers to meet their tax obligations.