Late Tax Filing Penalties. Life in Germany. Missed the deadline for your tax return? The tax office can charge you more for each month you’re late. Learn about the costs of filing late and how to avoid high fees. Even though delays can be expensive, acting quickly can help you save money.
Late Tax Filing Penalties
If you miss the deadline for filing your tax return, the tax office may charge you a late fee. This penalty is 0.25% of your total tax amount, with a minimum of 25 euros for each month you’re late. Even if you don’t owe any taxes, you might still face this fee. While officials may be lenient if it’s your first delay, the penalty will be unavoidable if the delay continues for too long.
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Penalties for Not Filing Taxes Can Reach Up to 25,000 Euros
If you completely ignore your obligation to file a tax return, the tax office can force you to submit it by setting a deadline. If you miss this deadline, the penalty can range from 100 to 500 euros, and in severe cases, up to 25,000 euros, according to Merkur.de. This is a serious consequence and should be avoided to prevent high costs.
Even if you pay the penalty, you still need to file your tax return. Otherwise, the tax office might estimate your income, which could lead to higher tax bills. Additionally, late payment interest is 0.15% per month and starts accruing one year after the due date.
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A quick response can help
If you’re late with your tax return, the key is to act fast. Filing as soon as possible will help you avoid big penalties. You can use tax software or apps like Wiso Steuer or Taxfix to make it easier. Alternatively, working with a tax advisor can give you more time, extending your deadline to June 2, 2025.