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Taxes & Duties

Income Tax Reduction

Entering a tax-exempt amount on the income tax card so that less income tax is withheld each month.

Wo wohnen Sie?

Damit wir Income Tax Reduction mit dem zuständigen Finanzamt in Ihrer Stadt anzeigen können.

Oder Großstadt wählen:

Sie werden zur geführten Suche weitergeleitet – mit Kontaktdaten, Termin und nächsten Schritten für Income Tax Reduction.

Processing: approx. 3 weeksSuccess rate: 91.0 %
Last reviewed: August 02, 2026Verified sources:ELSTER – Finanzverwaltung

Quick answer

  1. 1

    Documents you need

    Application for Income Tax Reduction

  2. 2

    Responsible authority

    The authority of your main residence

  3. 3

    How to do it

    Apply directly online

  4. 4

    Costs

    Kostenlos über ELSTER

Find the responsible authority

How to proceed

  1. 1

    Fill out the application for a reduction in income tax

    The “Application for Income Tax Reduction” form via ELSTER or on paper.

  2. 2

    Enter estimated costs

    Estimate and document advertising expenses, special expenses, or extraordinary expenses.

  3. 3

    The tax-free allowance is entered

    The tax office enters the tax-free allowance into the electronic payroll tax deduction data (ELStAM).

Responsible authority

The authority of your main place of residence is responsible.Find authority →

The essentials before applying

Who is eligible?

Employees with high income-related expenses, special expenses, extraordinary expenses, or alimony payments that exceed the standard amounts.

Income limit

Processing time

Nationwide: approx. approx. 3 weeks

Success rate

approx. 91.0 % (estimate)

Most common mistakes

  • Receipts/cost estimates are missing
  • The application was submitted late in the year – resulting in a lesser impact

Common reasons for rejection

  • Estimated income-related expenses below the employee's standard deduction
  • Application submitted after November 30

Alternatives

  • Check related services in the application assistant
  • Use social counselling before applying

If rejected

File a written objection within 30 days – with reasons why the decision is wrong and any missing evidence.

Related services

Questions & Answers

How long does the tax exemption apply?

Generally two calendar years; after that, a new application must be submitted.

Freshness & source

Maintenance
Continuously reviewed & updated
Source
ELSTER – Finanzverwaltung
Data quality
100 %

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