(2021) What are contributions to agricultural pension funds?

Note: The Federal Fiscal Court considers the statutory transitional regulations in connection with pension taxation and the deduction of pension expenses to be constitutional (BFH rulings of 19.05.2021, X R 33/19 and X R 20/21). However, it has pointed out that this does not apply to future pensioners. There could be a risk of double taxation.

The Federal Ministry of Finance has announced that the full deductibility of pension fund contributions during the working phase, planned for 2025, will be brought forward (as of 03.06.2021, source: BMF online). Therefore, it is possible that the above amounts will change slightly in the near future, i.e. the percentage-limited deduction of pension expenses will be increased. Further developments must be carefully monitored.