Save taxes: Apply for income tax discount 2025/2026 now!

Save taxes: Apply for income tax discount 2025/2026 now!

district of Olpe. As part of a new regulation, there is now the option of applying for wage tax allowances for the years 2025 and 2026 from the tax authorities. This order can help workers immediately benefit from reducing their monthly tax deductions and thus remain more money in their account. The application can easily be sent via the electronic portal Elster, without paperwork.

The expenditure that can be asserted tax are, for example, advertising costs, extraordinary loads and special expenses. These types of expenses reduce the wage tax that the employer keeps from gross income. As a result, the employees have more money at the end of the month. "Due to the income tax discount, employees can previously have their money," explains Stefanie Dißmann, head of the Olpe tax office. "So you no longer have to wait until the next tax return to apply for reimbursement."

deadlines and application options

It is important to note that applications for a reduction in income tax that will enter into the tax office by January 31, 2025 will come into force in retrospect from the beginning of the year. If there are applications that are submitted after this period, the discount will only be made from the following month. This offers a good way to reduce your own tax burden early in the year and thus increase the monthly net content.

An application can be made for up to two years. In the event of changed income or frequent expenses, existing allowances can be subsequently adjusted to optimize the individual tax burden. Losses from other types of income can also be taken into account on request in the income tax reduction procedure. Changes in the number of child allowances are also possible if the legal requirements are met.

The calculation of wage tax is not only based on the tax class, but also the child allowances and religious affiliation, which are available to the employer via electronic income tax deduction features (ELSTATAM). Employees should make sure that the application will be submitted by November 30 of the current year in order to benefit from the benefits in the same year. Further information is accessible on the website of the NRW tax office.

Overall, this measure of the tax authorities shows how important it is to make tax policy more accessible to people and more advantageous for their own financial situation. The possibility of immediately getting tax advantages into your own household budget can make a noticeable difference.