(2025) How donations to political parties are subsidised

In the federal and state elections, far more than just the major well-known parties usually stand for election. Votes and donations bring the parties additional money from the state treasury.

Not only donations but also membership fees to political parties are tax-privileged. Donations and membership fees are tax-privileged in two ways:

• The contributions are directly deducted from the tax liability by half, up to 1.650 Euro for single persons and up to 3.300 Euro for married couples. The tax saving is therefore up to 825 Euro or 1.650 Euro (§ 34g No. 1 EStG).
• Contributions beyond this are deductible as special expenses, up to a further 1.650 Euro for single persons and up to a further 3.300 Euro for married couples (§ 10b para. 2 EStG).