What are the advantages and disadvantages of a joint assessment?

Joint assessment is a type of assessment for married couples where both partners submit a joint tax return. The incomes of both spouses are combined, and the so-called spouse splitting is applied. This procedure has advantages and disadvantages that vary depending on income circumstances.

Advantages of joint assessment

• Lower tax rate with income differences: Through spouse splitting, the combined incomes of the spouses are halved, the income tax for this halved income is calculated and then doubled. This leads to a lower average tax rate if the partners' incomes are different.
• Tax relief: Couples where one partner has a high income and the other has a low or no income benefit significantly from joint assessment.

Disadvantages of joint assessment

• No advantage with equal incomes: If both spouses earn roughly the same amount, joint assessment offers no tax advantage compared to individual assessment.
• Commitment to joint declaration: Both partners are bound to the joint tax return, which makes individual tax consideration difficult.

Requirements

• Both spouses are married to each other.
• Both are fully taxable.
• They have lived together for at least one day of the tax year.

Automatic choice of joint assessment

If no type of assessment is selected on the main form of the tax return, the tax office will automatically carry out a joint assessment.

Conclusion: Joint assessment is particularly advantageous for couples with significantly different incomes. For equal incomes or specific tax situations, individual assessment may be more sensible. A tax advisor or tax software can help make the optimal choice.