{"id":11460,"date":"2020-08-31T14:44:22","date_gmt":"2020-08-31T12:44:22","guid":{"rendered":"https:\/\/tunal-stb.de\/reimbursement-of-moving-expenses-by-the-employer\/"},"modified":"2023-07-21T09:36:43","modified_gmt":"2023-07-21T07:36:43","slug":"reimbursement-of-moving-expenses-by-the-employer","status":"publish","type":"post","link":"https:\/\/tunal-stb.de\/en\/reimbursement-of-moving-expenses-by-the-employer\/","title":{"rendered":"Reimbursement of moving expenses by the employer"},"content":{"rendered":"<section class=\"l-section wpb_row height_large\"><div class=\"l-section-h i-cf\"><div class=\"g-cols vc_row via_grid cols_1 laptops-cols_inherit tablets-cols_inherit mobiles-cols_1 valign_top type_default stacking_default\"><div class=\"wpb_column vc_column_container\"><div class=\"vc_column-inner\"><div class=\"wpb_text_column\"><div class=\"wpb_wrapper\"><p>The employer may regularly reimburse the relocation expenses incurred by an employee in the event of a job-related change of residence <strong>free of<\/strong> <strong>wage tax<\/strong> and <strong>social security contributions<\/strong>.<\/p>\n<p>With regard to the <strong>VAT<\/strong> treatment of relocation costs borne by the employer, the Federal Fiscal Court had ruled that corresponding reimbursements (in the case of the dispute for brokerage costs) do not constitute taxable employee benefits and are therefore <strong>not<\/strong> subject to VAT.<\/p>\n<p>VAT assessment of employer relocation expenses: <a href=\"https:\/\/www.bundesfinanzministerium.de\/Content\/DE\/Downloads\/BMF_Schreiben\/Steuerarten\/Umsatzsteuer\/Umsatzsteuer-Anwendungserlass\/2020-06-03-umsatzsteuerrechtliche-beurteilung-von-umzugskosten-beim-arbeitgeber.pdf?__blob=publicationFile&amp;v=1\" target=\"_blank\" rel=\"noopener noreferrer\">Federal Ministry of Finance<\/a>.<\/p>\n<p>Now the tax authorities have confirmed this view and apply it in all open cases. Accordingly, the assumption of corresponding costs does not constitute benefits that are to be regarded as consideration for subsequent work performance. The employer&#8217;s reimbursements, on the other hand, are generally due to the requirements of the company&#8217;s economic activity and are therefore in the employer&#8217;s overriding interest.<\/p>\n<p>Since there is therefore no performance by the employer for non-business purposes, an <strong>input tax deduction<\/strong> can also be claimed from the relocation costs. The prerequisite for this is, in particular, the existence of <strong>invoices<\/strong> made out to the <strong>employer<\/strong> (and not to the employee).<\/p>\n<\/div><\/div><\/div><\/div><\/div><\/div><\/section>\n","protected":false},"excerpt":{"rendered":"The employer may regularly reimburse the relocation expenses incurred by an employee in the event of a job-related change of residence free of wage tax and social security contributions. With regard to the VAT treatment of relocation costs borne by the employer, the Federal Fiscal Court had ruled that corresponding reimbursements (in the case of...","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[535],"tags":[1400],"class_list":["post-11460","post","type-post","status-publish","format-standard","hentry","category-information-letter","tag-moving-expenses"],"acf":[],"_links":{"self":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts\/11460","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/comments?post=11460"}],"version-history":[{"count":2,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts\/11460\/revisions"}],"predecessor-version":[{"id":11498,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/posts\/11460\/revisions\/11498"}],"wp:attachment":[{"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/media?parent=11460"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/categories?post=11460"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/tunal-stb.de\/en\/wp-json\/wp\/v2\/tags?post=11460"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}