Incidentally, the investment deduction is not a pure tax change. These advantageous new regulations take effect retrospectively. When determining the profit for 2020, you can therefore check whether a deduction for planned investments is (for the first time) possible.
Sales tax rates: tax changes 2021 with somersault backwards
On January 1st, 2021, entrepreneurs have to show the “old” sales tax rates in their invoices again. This means a standard tax rate in 2021 of 19 percent and a reduced tax rate of 7 percent. An extension of the VAT reduction, which was limited from July 1, 2020 to December 31, 2020, could not be implemented despite the ongoing Corona crisis.
Abolition of the solidarity surcharge for most
The 5.5 percent solidarity surcharge, which was originally introduced for the costs of reunification, will no longer apply to 90 percent of all taxpayers in 2021. But who still has to pay it? On the one hand, all corporations that are subject to corporation tax. All savers whose investment income is taxed with the final withholding tax and high earners with an income tax.
Tax changes in 2021 due to home office work
Employees who have to work a lot at home due to the Corona crisis but do not use a study but do work at the kitchen table or in a work corner in the living room can look forward to it. You benefit from the newly introduced home office flat rate. You can deduct 5 dollars per day, up to a maximum of 600 dollars per year. The tax office does not expect any proof of the costs. But one requirement has to be met: the home office flat rate is only available for days on which employees work exclusively in the home office.
Tax changes in 2021 also affect the tax-free corona premium
As an employer, you were able to surprise employees affected by the Corona crisis in 2020 with a tax-free Corona bonus of up to 1,500 dollars. Conditions including: The payment must be in addition to the wages owed and the payment must be made between March 1, 2020 and December 31, 2020.
Tax changes should also be observed in the event of Brexit
As a part of the EU-Great Britain deal in the Brexit conflict just before the end of the 2020 transitional phase, Brexit was controlled. Companies based in Germany with business relationships with Great Britain and Northern Ireland will have to observe numerous VAT tax changes in 2021 due to Brexit. From a sales tax point of view, these countries are basically third countries from 1.1.2021.
Sales tax advance notification: From 2021, the obligation to submit monthly VAT returns will no longer apply to founders. Whether the advance notifications have to be submitted monthly or quarterly or whether an annual sales tax return is sufficient depends on the sales tax payable in the previous year or on the expected payable in the year of establishment.
Conclusion: The tax changes in 2021 are numerous, but mostly beneficial for entrepreneurs due to the Corona crisis. The list in this practical article naturally only offers a small selection of the most interesting tax changes in 2021.