Are there any special regulations for couples who are not married but living together, in terms of tax classes?
January 16, 2023 | 40,00 EUR | answered by Friedhelm Peters
Dear tax advisor,
My name is Maria Klein and I have been living with my partner in a non-marital partnership for several years. We have never thought about the potential implications this could have on our tax classes. However, I recently heard from friends that there are special regulations for couples who are not married but live together.
Currently, we are in tax classes I and IV, as my partner has the higher income and I work part-time. We are wondering if it would be financially advantageous for us to choose different tax classes or if it is even possible to be jointly assessed as an unmarried couple.
I am concerned that we may have paid too much in taxes so far and if there is a way to correct this retroactively. Additionally, I am wondering if there are any special regulations or tax benefits for us that we have not yet taken advantage of.
Could you please assist me and provide information on the special regulations for couples who are not married but live together in relation to tax classes? Are there possible solutions to optimize our tax situation and benefit from any potential advantages?
Thank you in advance for your help.
Sincerely,
Maria Klein
Dear Mrs. Klein,
Thank you for your inquiry regarding the tax situation for couples living in a non-marital cohabitation. As a tax advisor, I am happy to help clarify the specific regulations and potential benefits for you and your partner.
In Germany, couples who are not married are treated differently for tax purposes than married couples. In your case, where you and your partner are classified in tax classes I and IV, the higher income of your partner is taxed according to tax class IV, while your income is taxed according to tax class I. This means that your partner has higher deductions, as tax class IV has a higher tax burden.
However, there is the possibility for non-marital couples to apply for joint taxation. In this case, both incomes are added together and taxed jointly. This can potentially lead to tax savings, as the progression in joint taxation may be more favorable. However, it is important to note that this is only possible if certain conditions are met, such as a shared household and the intention to live together permanently.
It is also possible to apply for a change in tax classes to optimize the tax situation. This can be particularly useful if income circumstances change or if joint taxation is advantageous.
Regarding retroactive corrections of tax payments, it is important to note that this is only possible in certain cases and must be individually reviewed. It may be advisable to consult a tax advisor to assess the options and risks.
Additionally, there are special tax benefits and regulations for non-marital cohabitations, such as the splitting procedure for registered civil partnerships. It may also be beneficial to seek advice in order to make the most of all available options.
I hope this information helps you and answers your questions. I am available for further information and advice.
Sincerely,
Friedhelm Peters, Tax Advisor
