Am I also entitled to the travel allowance if I use a company car?
You can also receive the travel allowance if you use a company car for commuting. However, you must note the following special features:
Most favourable route
Even if your employer bases the calculation of the taxable benefit on the shortest route, you may still declare a longer route in your tax return if it is more favourable and you use it regularly.
For journeys between your home and primary workplace, you must pay tax on an additional value on top of the private usage value of 1 percent of the list price. This amounts to 0.03 percent of the list price per kilometre of distance for commuting each month.
In return, you may then, like any employee, claim the travel allowance of 0.30 Euro / 0.35 Euro per kilometre of distance as income-related expenses. If your employer taxes the taxable benefit for the company car at a flat rate of 15 percent, you must deduct the monthly flat-rate taxed amount from your income-related expenses and can only deduct the remainder as income-related expenses.
Simplification rule
Even if the employer has only used 180 days for the calculation of the benefit for simplification purposes, you can, for example, claim 220 days when deducting income-related expenses.
(2021): Am I also entitled to the travel allowance if I use a company car?
Can I also claim the higher travel allowance during the probationary period?
In a recent decision, the Federal Fiscal Court clarified that employees cannot claim actual travel costs between home and work as tax-deductible expenses, even during the probationary period and for fixed-term employment.
Journeys between home and the primary workplace (until 2013: regular workplace) can only be deducted using the commuting allowance of 30 cents per kilometre (35 cents from the 21st kilometre) as work-related expenses. This is because the workplace is permanently assigned, allowing employees to adapt to regular commutes, e.g., by carpooling, using public transport, or living close to work.
But isn't a fixed-term employment or probationary period with the possibility of termination at any time more comparable to off-site work than to a permanent workplace? Can the journeys be deducted using the business travel allowance (30 cents per kilometre) and meal allowances?
The Federal Fiscal Court has recently ruled that even for fixed-term employment and during the probationary period, working at a company facility is not considered off-site work. Therefore, journeys to the workplace can only be deducted using the commuting allowance, and meal allowances cannot be claimed. The permanence of the assignment to the workplace applies regardless of the fixed-term nature of the employment and the agreed probationary period (BFH ruling of 7.5.2015, VI R 54/14).
In these cases, the employee is working at the employer's business location – a permanent company facility – and thus at a regular workplace. This is because the employee visits this facility not just occasionally but with a certain regularity, i.e., continuously and repeatedly. The fact that the work is only carried out for two years and the first six months of employment are subject to a probationary period does not affect the permanence of the assignment to the employer's business location.
Note: The ruling refers to the legal situation before 2014 but also applies under the new legal situation from 2014. The law now clearly states: "A permanent assignment is particularly assumed if the employee is to work at such a workplace indefinitely, for the duration of the employment relationship, or for more than 48 months" (§ 9 para. 4 sentence 3 EStG).
The Federal Fiscal Court (BFH) has recently ruled on fixed-term employment that a "primary workplace" exists if the employee is to work at a single fixed company facility for the duration of the fixed-term employment and is assigned there. Therefore, journeys to the workplace can only be deducted using the commuting allowance, and meal allowances cannot be claimed (BFH ruling of 10.4.2019, VI R 6/17). The law has clearly stated since 2014 (§ 9 para. 4 sentence 3 EStG): "A permanent assignment is particularly assumed if the employee
- is employed indefinitely,
- for the duration of the employment relationship, or
- for more than 48 months at such a workplace".
As a result, many employees with fixed-term contracts often do not benefit from travel expense rates. Since a customer's company facility can also establish a primary workplace, temporary agency workers are equally affected by the BFH's decision. However, the current ruling also has positive aspects. For example:
- If an employee is initially assigned to a primary workplace during a fixed-term employment and later to another workplace, at least the latter is no longer a "primary workplace".
- Case: A temporary agency worker was employed by an agency from May 2012. His employment was extended several times, most recently until 1 May 2015. Initially, the employee worked at a company's plant in Y. On written instructions from the agency employer, he was then employed for the company in X during the term of his employment contract.
- According to the BFH, the employee was assigned to two different workplaces during his continuous employment. Therefore, he could not be assigned to the second workplace in X for the "entire duration of the employment relationship". He was also not employed "indefinitely" or for a "period of more than 48 months". In the absence of a primary workplace, the employee was allowed to claim travel from his home to the company's plant in X according to travel expense principles at 30 cents per kilometre travelled.
NOTE: If a fixed-term employment relationship, including a temporary employment relationship, is extended in writing before the expiry of the fixed term by merely postponing the end date with otherwise unchanged contract content, a continuous fixed-term employment relationship exists. For the question of whether an assignment is for the duration of the employment relationship, the continuous employment relationship must be considered, not just the extension period. Admittedly, the BFH ruling and its implications are not easy to understand.
(2021): Can I also claim the higher travel allowance during the probationary period?
Can I also claim travel expenses for cycling?
Many employees use a bicycle for commuting to work and occasionally for off-site work. The question is what you can claim as work-related expenses in this case.
Journeys between home and primary workplace
These journeys can be claimed as work-related expenses using the commuter allowance of 30 cents per kilometre (one way). The type of transport does not matter, so bicycles are also eligible.
Journeys to a fixed meeting point
Some employees do not have a "primary workplace" but must report to a fixed meeting point (collection point) on the instructions of their employer and start work from there or travel to different work locations. Such meeting points include vehicle depots for professional drivers, tram drivers, taxi drivers, train drivers, train attendants, etc., who always take over their vehicle at the same place.
These can also be collection points to continue to the respective work sites with a company vehicle, e.g. car park, meeting point at company headquarters to continue to construction sites. Since 2014, you can claim bicycle journeys to a fixed meeting point with the commuter allowance of 30 cents per kilometre (35 cents from the 21st kilometre). Meal allowances can also be claimed since 2014.
Lohnsteuer kompakt
Current The Federal Fiscal Court has made an interesting decision on the subject of "journeys to the collection point". It states: If the collection point is not typically visited daily for work, the journeys there can be deducted at the business travel rates and not just with the commuter allowance (BFH ruling of 19.04.2021, VI R 6/19). In advance: The BFH ruling is not easy to digest, but construction workers who frequently change construction sites should read the explanations carefully, as they can save real money.
- The case: The claimant works as a construction machine operator. He travelled to the respective construction sites from a specific meeting point with a company vehicle, according to an internal company instruction. This applied to both journeys with daily return and journeys to other work locations where the claimant stayed overnight for several days. The assignments on the remote construction sites usually lasted the entire week. The tax office only considered the journeys to the respective collection point with the commuter allowance, while the claimant claimed the business travel rate of 0.30 EUR per kilometre driven. The BFH did not make a final decision but referred the case back to the lower court. However, it gave the court important guidance.
- If the collection point is typically visited daily for work, the journeys there can only be deducted with the commuter allowance. However, a typical daily visit to the collection point is not sufficient to settle the employee with the commuter allowance. The BFH thus makes a strange distinction that only becomes clear at second glance.
- Typically daily visits mean that the employee is actually supposed to visit the collection point daily to get to the construction sites from there. The employer's instructions and the planned events are decisive. Although the employee does not have to visit the collection point every working day, they must do so with such regularity that training, unplanned assignments or multi-day assignments on construction sites with overnight stays are the exception. It is crucial whether it is clear from the outset that the employee is only to be deployed on one-day construction sites. The employer's company structure can also play a role here.
- If the employee is more frequently deployed on multi-day remote construction sites, there is no typical daily visit to the employer's collection point. It is only typically visited for onward travel ("daily travel") to the construction sites. In this case, the costs must be considered at 0.30 EUR per kilometre driven. Again, the assessment is not based on a retrospective view of events, but on the employer's planned deployment of the employee.
Journeys as part of off-site work
If business trips or off-site appointments are made by bicycle, no allowance can be claimed since 2014. However, the actual expenses incurred, e.g. purchase costs, spread over the period of use, according to the percentage of business use, can still be claimed. However, this calculation is quite tedious.
Lohnsteuer kompakt: If business trips are made with an electric bicycle, a distinction must be made as to whether the bicycle is classified as a bicycle (Pedelec) or as a motor vehicle (S-Pedelec, E-Bike) under traffic law. The latter are electric bicycles whose motor also supports speeds over 25 kilometres per hour. In this case, you can claim the business travel allowance of 20 cents per km.
(2021): Can I also claim travel expenses for cycling?
How do I enter different commuting distances after a move?
If you changed your residence due to a move during a tax year, the daily commute to your primary workplace usually changes as well.
In this case, you must enter two primary workplaces in Lohnsteuer kompakt to input the correct distances, e.g.:
- "Workplace, address old residence"
- Distance 25 km, 112 working days, 5-day week
- "Workplace, address new residence"
- Distance 15 km, 118 working days, 5-day week
Tip
Don't forget to also claim any moving expenses in your tax return!
(2021): How do I enter different commuting distances after a move?
What is the travel allowance?
For commuting between home and primary workplace, you can deduct a travel allowance (commuter allowance) as work-related expenses, regardless of how you travel to your primary workplace. This allowance is 30 cents for each full kilometre of distance, or 35 cents from the 21st kilometre onwards.
For determining the distance between home and primary workplace, the shortest road route is generally decisive. Again, it does not matter which means of transport you actually used. If you use a car, a route other than the shortest road route can be entered if it is obviously more convenient and you regularly used it for commuting between home and primary workplace.
Please note that only the one-way and shortest route to the workplace is considered as work-related expenses. This means not the return journey, and not multiple trips per day.
The travel allowance is generally limited to a maximum amount of 4,500 Euro. However, if you use your own car or a car provided for your use (e.g. company car), the maximum amount of 4,500 Euro does not apply.
The travel allowance can be claimed for the journeys to the primary workplace only once per working day, even if you travel between home and primary workplace several times a day.
(2021): What is the travel allowance?
What is a primary place of work?
The "primary place of work" (until 2013: workplace) is a fixed business location of the employer to which the employee is permanently assigned. This assignment is primarily made by the employer based on employment or service regulations, regardless of whether in written or verbal form. However, even without an explicit determination by the employer, a permanent assignment is assumed if you work at the workplace for an extended period, namely
- indefinitely ("until further notice"),
- for the entire duration of the employment (fixed-term or permanent) or
- for a period of more than 48 months.
If there are multiple workplaces, the extent of working hours can also be decisive in determining whether a business location is considered the "primary place of work". This is the case if, according to your employment contract, you are required to work there
- typically on a daily basis or
- two full working days per week or
- at least one third of your agreed regular working hours.
Unlike in the past, since 2014 a "primary place of work" can also be
- a fixed location of an affiliated company (subsidiary),
- a fixed location of an external company, including at the customer's premises (temporary or agency work),
- an educational institution attended outside the employment relationship for the purpose of full-time study or a full-time educational programme.
Therefore, the "primary place of work" can also be the premises of a customer or an affiliated company if you work there for an extended period. However, this only applies if you are permanently assigned to this location by the employer. This is always the case if you work there from the outset for more than 48 months or for the duration of the employment.
No "primary place of work" can be vehicles, aeroplanes, or ships, as these are not fixed business locations of the employer. The same applies to the home office, as this is not an employer's facility.
(2021): What is a primary place of work?
How do I enter different commuting distances if I change employer?
If you changed employer during a tax year, the daily commuting distance and thus the amount of the commuter allowance usually changes as well.
If you changed employer during the year, you can easily enter multiple primary workplaces:
"Primary workplace previous employer"
- Distance 30 km, 80 working days, 5-day week
"Primary workplace new employer"
- Distance 15 km, 150 working days, 5-day week
(2021): How do I enter different commuting distances if I change employer?
How do I enter travel expenses when using different modes of transport?
If you travel to your employer using different modes of transport (car/public transport/passenger in a carpool), it is best to record these with two separate entries, e.g.:
"Primary place of work, transport by car"
- Distance 25 km, 164 working days, 5-day week
"Primary place of work, transport by public transport"
- Distance 25 km, 66 working days, 5-day week
(2021): How do I enter travel expenses when using different modes of transport?
How are travel expenses recorded for car pools?
If car pools are formed for the daily commute to work, each participant in the car pool can claim the commuting allowance for themselves.
Detours to pick up and drop off passengers are not taken into account when determining the distance. For the driver, travel costs can be deducted as income-related expenses without limit. However, for passengers, the maximum deductible amount is 4.500 Euro.
(2021): How are travel expenses recorded for car pools?
How do I enter travel expenses correctly if the number of my working days changes?
Wenn sich im Laufe eines Jahres die Anzahl der Arbeitstage pro Woche erhöht oder verringert hat, sollten Sie mehrere Eintragungen für die Fahrtkosten anlegen, z.B.:
"Erste Tätigkeitsstätte, 5-Tage-Woche"
- Entfernung 15 km, 115 Arbeitstage, 5-Tage-Woche
"Erste Tätigkeitsstätte, 6-Tage-Woche"
- Entfernung 15 km, 140 Arbeitstage, 6-Tage-Woche
Hinweis: Corona verändert alles
Fahrten zur Arbeit, genauer gesagt zur ersten Tätigkeitsstätte, sind mit der Pendlerpauschale von 30 Cent pro Entfernungskilometer abziehbar; seit 2021 gelten 35 Cent ab dem 21. Kilometer. Grundsätzlich ist jeder Arbeitnehmer gehalten, im Rahmen seiner Steuererklärung die exakte Anzahl der Arbeitstage anzugeben. Nur für diese Tage wird die Pendlerpauschale gewährt. Um zu prüfen, ob die Anzahl der erklärten Arbeitstage plausibel ist, sind auch Urlaubs- und Krankheitstage zu erklären. Seit 2020 werden in der Steuererklärung zudem die Dienstreisetage und die Heimarbeitstage abgefragt.
Nun kann es aber sehr mühsam sein, die Anzahl der Arbeitstage exakt zu ermitteln. Wer führt schon täglich eine Strichliste? Und dann gibt es Arbeitnehmer, die auch am Wochenende, mitunter außerplanmäßig, die Arbeitsstelle aufsuchen. Daher haben die Finanzämter schon vor Jahrzehnten sogenannte Nichtaufgriffsgrenzen festgelegt. Sie akzeptierten im Allgemeinen bei einer Fünf-Tage-Woche 220 bis 230 Fahrten und bei einer Sechs-Tage-Woche 260 bis 280 Fahrten zwischen Wohnung und Arbeitsstätte. Wohlgemerkt handelt es sich um interne Grenzen der Finanzämter, auf deren Anwendung kein Rechtsanspruch besteht, auch wenn das Finanzgericht München vor einigen Jahren geurteilt hat, dass die Finanzämter 230 Tage abhaken sollten (FG München vom 12.12.2008, 13 K 4371/07).
So weit, so gut. Doch Corona hat alles verändert. Unzählige Arbeitnehmer befanden und befinden sich noch im Homeoffice und fahren nicht täglich ins Büro oder zum Betrieb. Sie können für diese Tage einen Pauschalbetrag von 5 Euro pro Tag als Werbungskosten geltend machen (betrifft die Steuererklärungen 2020 und 2021) oder gar die Kosten für ein häusliches Arbeitszimmer. Doch mangels Fahrten dürfen sie Fahrtkosten natürlich nicht geltend machen. Und gerade hier setzen die Finanzämter nun zunehmend an und fordern eine Arbeitgeberbescheinigung über die tatsächlich geleisteten Arbeitstage und vor allem über die Tage, an denen die erste Tätigkeitsstätte aufgesucht worden ist. Die Regel, dass 220 oder 230 Fahrten pro Jahr akzeptiert werden, gilt für die Jahre 2020 und 2021 jedenfalls nicht mehr ohne Weiteres!
(2021): How do I enter travel expenses correctly if the number of my working days changes?
Can I claim tax relief for a parking space rented for work?
Normally, the costs for a parking space are covered by the travel allowance. If, as an employee, you rent a parking space near your workplace, no deductible business expenses are incurred. The costs for the parking space (parking fees, parking costs) are covered by the travel allowance.
As always, there are exceptions: If you cannot do without a parking space due to a second household, off-site work, a (proven) disability, or unavoidable circumstances, you can claim the proven and justified expenses for tax purposes.
(2021): Can I claim tax relief for a parking space rented for work?
