(2022) What is the relief amount?

The relief amount has been increased to 4.008 Euro, more than doubling. For the second and each additional child, the relief amount increases by 240 Euro each (§ 24b para. 2 sentence 3 EStG).

The relief amount and the new increase amount are reduced by one twelfth for each full calendar month in which the conditions are not met. The condition for granting is that you are entitled to child benefit or the child allowance and BEA allowance for the child.

You are considered a single parent only if no other adult persons live in your household, except possibly adult children for whom you receive child benefit, e.g. children in education.

You can also claim the relief amount if the child only has a secondary residence at your home and, for example, is studying in another city.

The relief amount for single parents is granted retroactively for the past year if the relevant information is provided in the child annex.

 

Currently, the Federal Fiscal Court has ruled that jointly assessed spouses can claim the relief amount for single parents on a pro rata basis in the year of marriage, provided they did not live in a household with another adult person before the marriage (BFH ruling of 28.10.2021, III R 57/20).

Currently, the Federal Fiscal Court has also ruled that 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 person 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 …".

It can be concluded 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 inferred that the pro rata relief amount is also to be granted if joint assessment is chosen in the year of separation. It would have been desirable for the BFH to have expressed this more clearly.