How does getting married affect my tax class?
October 25, 2022 | 40,00 EUR | answered by Yvonne Schreiber
Dear tax advisor,
I am reaching out to you as I am facing an important decision and am uncertain about the impact it will have on my tax class. My girlfriend and I are planning to get married in the near future and would like to know how this step will affect us tax-wise.
Currently, I am single and in tax class 1. My girlfriend is also single and in tax class 1. We both work full-time and earn roughly the same amount. We would now like to find out if it would be advisable to change tax classes after getting married, and if so, which combination would be most advantageous for us.
Our concern is that after getting married, we may have to pay more taxes than before, as we both earn similar amounts. We would like to explore all possibilities to minimize our tax burden and make the most of our situation.
Could you please explain how marriage will influence our tax class and what options we have to be optimally positioned tax-wise? We would greatly appreciate your expert advice.
Thank you in advance for your help.
Sincerely,
Lukas Jensen
Dear Mr. Jensen,
Thank you for your inquiry regarding the impact of marriage on your tax class. I understand your concerns and will gladly provide you with all the information to assist you in your decision.
First and foremost, it is important to know that through marriage, a joint assessment for income tax is made. This means that you and your partner will submit a joint tax return after getting married and be assessed together.
Regarding tax classes, there are different options for how you can be classified after marriage. Basically, you have the choice between tax classes III/V, IV/IV, or IV with a factor. Tax class III is intended for the partner who earns more, while tax class V is for the partner with the lower income. Tax class IV is usually chosen for couples with similar incomes. With tax class IV with a factor, optimal tax relief can be achieved when both partners' incomes are close to each other.
In your case, since you and your partner earn approximately the same amount, it would probably be most advisable to choose tax class IV. This way, you can benefit from a lower tax rate and potentially gain tax advantages. However, it is important to note that the tax class only affects the monthly income tax and not the final tax liability, which is calculated as part of the annual tax return.
Therefore, I recommend seeking advice from a tax advisor to conduct a precise analysis of your individual situation and find the best option for your tax optimization. I am happy to assist you with any further questions and wish you success in your decision.
Best regards,
Yvonne Schreiber
