Double household management
October 6, 2011 | 20,00 EUR | answered by Oliver Burchardt
My wife will resume her master's studies in Frankfurt am Main on October 17th after 1 year of maternity leave/parental leave. She has no income, we finance the apartment and all other expenses from my income. I will stay in Munich with our son, take the 13th and 14th month of parental leave and then continue to work full-time. My wife will come to Munich once a week.
How can we claim tax deductions for travel expenses and for the apartment, study costs, etc?
She is not employed, but a student, but we will be jointly assessed, can we claim anything other than the €920 lump sum?
Does my wife have to register in Frankfurt with a primary residence or secondary residence in order to receive tax benefits?
Thank you for your response.
Dear questioner,
Thank you for your inquiry, which I am happy to answer as part of an initial consultation.
Please note that the tax assessment is based on the information provided. Changing, adding, or omitting information can have a significant impact on the outcome.
The expenses for a master's degree program are usually fully deductible as business expenses, as a first professional qualification (diploma or bachelor's degree) is required for admission. The new jurisdiction of the Federal Fiscal Court (BFH) is therefore not relevant in your case, as it has already been decided on the expenses for the first professional qualification.
Therefore, the expenses for the study (academic literature, tuition fees, etc.) are fully deductible. The expenses for accommodation away from home are also deductible as business expenses. From a tax perspective, it is irrelevant where your primary residence is registered.
In your case, there is a double household management, as your wife does not live at the common center of life for professional reasons. Therefore, the expenses for the second residence such as rent, utilities, appropriate furnishings, etc. are deductible. The trips between Frankfurt and Munich are also deductible.
Please note that the deductibility only applies if your wife incurs the expenses. If you directly cover these expenses, no deduction is possible. If you do not have a joint account, your wife should settle the mentioned costs through her own account.
I hope that my explanations have been helpful in the context of your commitment.
Best regards,
Oliver Burchardt
Tax advisor
