Tax back payment: reasons and tips

Tax back payment: reasons and tips

Filing your taxes is an annual obligation that challenges many people. In order to optimally prepare for this, all relevant receipts and evidence for possible deductions should be collected. After the tax return has been submitted, it can take a few weeks for the tax office to process it. In some cases, taxpayers will receive a refund, while others will be asked to pay back.

A back tax payment can have various reasons. For example, if the flat rate for business expenses has not been exceeded, a refund is less likely. Lower expenses for work clothing, further training or less unusual stress can also lead to additional payments. Even a salary increase can result in additional payments due to higher income tax. Another reason could be the tax class combination 3/5, which can lead to additional payments.

Other situations that can lead to additional tax payments include income from self-employment, rentals, or wage replacement benefits such as sick pay or unemployment benefits. In these cases, additional taxes must be paid. If taxpayers do not understand why they are being asked to pay back, they can read the explanatory part of the tax assessment to find out what information was not accepted.

After receiving the income tax notice, taxpayers usually have about a month to transfer the additional payment. If this deadline is exceeded, a late payment surcharge may be levied. It is possible to apply to the tax office for a deferral or payment in installments, which will, however, be approved or rejected on a case-by-case basis. It is advisable to include the exact date for the transfer in the notification in order to avoid delays and additional costs.