The political interest in Germany has always been subject to strong fluctuations, but there are also certain constants – for example in the area of donations. Anyone who decides to make donations in cash or in kind to “his” party can receive a tax reduction according to § 34g EStG. The party donations paid directly reduce the tax payable, with various restrictions and maximum amounts.
Principle 1: What are party donations?
The tax consideration of party donations is regulated in § 34g EStG. The income tax law refers directly to the German party law (PartG). Donations are therefore only deductible if their payment was made to a party within the meaning of § 2 PartG. These conditions are met if the association
This article does not replace tax or legal advice in an individual case. Facts, current law, jurisdiction, documentation and implementation remain decisive.