Start of Relocation | Teaching Costs

from 1 June 2020 | 1146 EUR

from 1 April 2021 | 1160 EUR

from 1 April 2022 | 1181 EUR

from 1 March 2024 | 1286 EUR

Start of the move | One person | Supplement for each additional person in the household | Couple with two children

from 1 June 2020 | 860 EUR | 573 EUR | 2579 EUR

from 1 April 2021 | 870 EUR | 580 EUR | 2610 EUR

from 1 April 2022 | 886 EUR | 590 EUR | 2656 EUR

from 1 March 2024 | 964 EUR | 643 EUR | 2893 EUR

There are many reasons for a change of apartment. Practical is that you can deduct the moving costs for tax purposes. Professionally-related moving costs can be set as advertising costs in the income tax return. When moving for private reasons, you can deduct part of the costs as household services. We explain how and to which conditions the deduction is linked.

1st Relocation costs tax deductible: Requirements

1.1. Professional or operational initiation

1.1.1. Reduced commute

Relocation costs are occupational expenses if the relocation is arranged for operational or professional purposes. In certain cases, you can therefore claim relocation costs as advertising costs. For this, the move must have a professional reason. This professional reason exists if the move leads, for example, to a shortened commute. The move must lead to a time saving for the journeys of work and back of 30 minutes each. It does not depend on the length of the path, but on the time saved by the move. You do not necessarily have to change your place of residence. Even within a city it is possible to deduct relocation costs for tax purposes. This applies above all to moving within large cities such as Hamburg or Berlin.

The travel time can be the average value that can be determined via a standard route planner from the Internet. Spouses who are both working must each look at their individual ways of working. If there is a common commute, it is not possible to add up the time saved in each case in order to arrive at a value of one hour in total.

1.1.2. Change of job

Professionally, the move is also initiated if the workplace changes and is now in a different city or if the company moves and therefore you also move.

1.1.3. Improvement of working conditions

In individual cases, the tax office also recognizes improved working conditions as a professional reason for a move. For example, a hospital doctor who moved to the vicinity of the hospital for free reasons in order to be able to provide easier care for inpatients could deduct his removal costs for tax purposes.

1.1.4. Return from abroad

Professionally conditioned is also the return from abroad to Germany for a new job.

1.1.5. Moving due to a study

In the corona pandemic, the current apartment was too small for many because there was regularly no room for a study. Some have moved to a larger apartment. So also in a case that the Finance Court Hamburg decided. The tax office originally refused to take the removal costs into account for tax purposes. The tax court gave the taxpayer right. The verdict referred to the corona pandemic. However, it would have to be transferred to other life matters. In particular, in view of the fact that the court stated that the move would be professionally prompted if it leads to a substantial relief of working conditions. This should also be assumed if the move takes place in order to set up a study for each spouse in the new apartment, so that they can again pursue their respective activities in the home office undisturbed. The Finance Court has filed an appeal against the decision of the Finance Court, which is currently still pending at the Bundesfinanzhof (BFH) (VI R 3/23).

1.2. Relocation costs tax deductible: Examples

Moving costs include, for example: