Get Ready for Tax Time 2024: Breaking Down Changes and Important Dates
- ⏱️ ~ 4 Min
Submit your 2024 tax form: Remember, this is required. - 2024 Tax Return Filings: Essential Factor to Keep in Mind
Planning to file your taxes for the year 2024? Time's a-ticking, but don't sweat it just yet! Here's an insider's guide on key updates, deadlines, and some clever tips to help you sort it out with ease.
When's the Last Call to File the 2024 Tax Return?
As you might've noticed, tax deadlines shift now and then. For the 2024 tax return, change is in the air, as the final date to file has bumped up by a month: The deadline becomes Thursday, July 31, 2025 (since August 31 lands on a weekend).
If you team up with a tax professional or association, they've got extra time on their hands—their deadline is April 30, 2026. But hold onto your horses, 'cause the tax office may require an earlier submission in special cases.
Psst! If you want to submit your tax return voluntarily (you're not obligated to, but it often means a refund), you can do it up to four years later, so sayonara by December 31, 2028. And guess what? You still can file a voluntary tax return for 2021 until the end of 2025, and the same for the years to follow!
Miss the deadline, and the tax office might slap you with a late fee. That's right, baby, a measly 0.25% of the assessed income tax (at least 25 bucks per skipped month). Ouch.
Can I Get an Extension without Sweating it?
A deadline extension is tricky but possible under specific circumstances. If you're desperate to submit your tax return later, you can throw in a request to your local tax office. They might be persuaded by reasons like health issues, prolonged stays abroad, or disappearing documents. Remember, a heads up is crucial—the tax office will communicate their decision in writing and set a new deadline for you. But sometimes, they may insist on an early submission while working out those missing documents—no use crying over spilled milk, mate, just correct it when you get the chance!
Who's Obliged to File a Tax Return?
You've been dragging ass to file your tax return if you...
- Groove with a couple rocking tax classes 3/5 or 4 with a factor
- Groove with a job offering tax class 6
- Self-employed and got some side hustle income
- Received replacement dough (unemployment benefits, short-time work benefits, parental benefits, sick pay) or untaxed secondary income of more than 410 big ones
- Drawing a pension and raking in income exceeding the basic allowance of 11,784 euros
But don't think you can't file a tax return voluntarily even if you're not obligated to, 'cause it often results in a refund of overpaid taxes. A mean refund of about 1,100 euros awaits you, according to the Federal Statistical Office.
Did you know? Around a quarter of taxable individuals still prefer snail mail, filling out paper tax forms and sending them via post. However, the digital way's the new sheriff in town when it comes to tax offices. You can complete and submit the tax declaration online via the free portal "Elster" of the tax offices. No need to send receipts directly anymore unless you're asked to do so by the tax office.
Hot Tip: Commercial tax programs or apps cost between 20 and 45 euros and save you the headache of forgetting important bits. With tips and hints, the price's quickly back where it came from. Stiftung Warentest rates Wiso as the best, but other tax programs prove mighty fine as well!
If you fancy using tax software to fill your tax return but lack courage, don't hesitate to seek assistance from a tax assistance association or tax consultant. This usually costs a few hundred clams, but it's well worth it, especially for those drowning in complex cases. Tax assistance associations are more affordable, but they're only open to employees, civil servants, and pensioners (not self-employed).
FYI: Expenses related to tax consultation or tax software can be deducted from your taxes the following year.
What's Cooking for the 2024 Tax Year?
The federal government has some sweet news for taxpayers in 2024—tax relief measures are on the menu! The standard deduction bumps up, giving you more wiggle room before owing taxes on income.
- Single or Married Filing Separately: Up from $13,850 to $14,600, a $750 increase from the previous year.
- Head of Household: $20,750, jumping $1,100.
- Married Filing Jointly or Surviving Spouse: Skipping town at $27,750, up by $1,500.
Child Allowance: The child allowance increases by 600 simoleons for the 2024 tax year to 6,612 bones (3,306 bones per parent). Parents can also score child benefit of 250 bones per bambino. The tax office will decide which option's more generous.
Covid-19 and Ukraine Aid: You can deduct donations for Corona and Ukraine aid as special expenses up to 20 percent of your income.
- Tax return
- Deadline
- Tax year
- Tax assistance association
- Standard Deduction Increase
- To maximize your personal-finance management amid the busy 2024 tax season, consider utilizing a reputable tax institution, either an institution of your place of residence or your place of work, which can provide valuable advice on handling your financial matters related to the institution's tax return.
- As you work to prepare your tax return, learn about the significant standard deduction increase for the 2024 tax year for community institutions such as individuals filing single or married filing separately, which could potentially ease the financial burden during tax time.
