Tax advice for expatriates: So that everything runs smoothly in Germany, even from abroad
Are you being or have you been sent by your employer to another country for a limited period of time? Experience abroad broadens your horizons, can mean higher earnings or serve as a career springboard when you return. But what does this mean for tax purposes?
- Do I have to deregister in my home country? Is that enough for the tax office so that I don’t have to pay taxes in two countries?
- Can taxes paid abroad be credited against my German income tax?
- Will my employer compensate me for tax disadvantages due to the secondment? Has this been calculated correctly?
- Can moving away from Germany for tax purposes have disadvantages for me?
- What happens if I fall ill? Is my German health insurance also valid abroad?
- What about my pension insurance? Will it continue or will I receive a pension abroad?
- Do I have to submit any applications?
Many questions. Your employer can certainly answer some of them. But is he representing his own interests or your interests? Many employers pay for tax advice on secondments in order to answer your questions and to be able to make any necessary declarations in a foreign country. Ask about this. If not, it may be worth hiring a tax consultant at your own expense, as carelessness can quickly become expensive.
Posting from abroad to Germany
If you have been posted to Germany by your company abroad, you must comply with German law. You can find more information on this topic on the page on income tax return.
Further information, especially for employers, can be found on the page International tax law for companies or on our page Posting foreign employees to Germany.
Posting abroad from Germany
Are you being posted abroad? Do you want to know which tax and social security regulations you need to observe there? We will be happy to put you in touch with competent contacts in many countries. Should you deregister in Germany? You can find further information on the page International tax law for private individuals or on our page Posting employees from Germany abroad.