(2022) What is the tax relief for single parents?

If you are a single parent, you can apply for a tax relief amount in the "Form Child". Since 2015, the relief amount has been 4.008 Euro. An additional amount of 240 Euro is added for each additional child.

For each full calendar month in which the deduction conditions are not met, the relief amount is reduced by one twelfth. Condition: at least one minor or adult child for whom you receive child benefit or the tax-free child allowance must belong to your household. It does not have to be a biological child; the relief amount is also available for an adopted, foster, step, or grandchild. The child must be registered at your address. If the child is registered with several people, the parent who is entitled to child benefit receives the relief amount. The tax identification number must be provided for the child who belongs to the household.

Important: No other adult persons may belong to your household. Adult children for whom you receive child benefit are an exception. This also applies to children who are in vocational training, waiting for a training place, or doing voluntary service. The relief amount is also not at risk if you live with an adult in need of care.

Living with adults is harmless for the relief amount if there is no household community, but merely a shared flat with separate finances and separate management. A key feature of a household community is "joint management".

Current decision by the Federal Fiscal Court: jointly assessed spouses can also claim the relief amount for single parents in the year of marriage on a pro-rata basis, provided they did not live in a household community with another adult before the marriage (BFH ruling of 28.10.2021, III R 57/20).

Current decision by the Federal Fiscal Court: in the year of separation, the relief amount is to be granted on a pro-rata basis for the months after the separation if individual assessment is chosen and no other adult lives in the household (BFH ruling of 28.10.2021, III R 17/20).

Note: The ruling states: "Taxpayers who are individually assessed for income tax as spouses under §§ 26, 26a EStG can claim the relief amount for single parents on a pro-rata basis in the year of separation …". This suggests that pro-rata granting is only considered if individual assessment is chosen. However, looking at the BFH ruling III R 57/20 of the same day (see above), it can be concluded that the pro-rata relief amount can also be granted if joint assessment is chosen in the year of separation. It would have been desirable for the BFH to express this more clearly.