How is a subsequent correction made in the case of data submitted by third parties?

When processing tax returns, the tax office automatically incorporates many data that are digitally transmitted by employers and social security institutions (§ 93c AO). However, these data may be transmitted late or incorrectly, leading to erroneous tax assessments. In such cases, § 175b AO allows for a straightforward correction of tax assessments once the correct data are available.

Correction of incorrect data

If data from so-called reporting entities, such as employers, have been incorrectly transmitted, the tax office can subsequently amend the tax assessment. This also applies if the error was not caused by the taxpayer and the tax office had originally fully reviewed the case. The correction is made without restrictions as soon as the correct data are available.

Example: The Federal Fiscal Court (BFH) ruled in a case that a tax assessment may be amended under § 175b AO even if the error was due to the incomplete transmission of a payslip. Even if the taxpayer had correctly declared a severance payment, it was initially overlooked due to an incorrect payslip. Almost two years later, the tax office amended the assessment, which was confirmed by the BFH (BFH ruling of 20.2.2024, IX R 20/23).

Conclusion: The tax office can correct erroneous tax assessments at any time if they are based on incomplete or incorrect data transmitted by third parties. Taxpayers have no means of objecting to the amendment in such cases, even if the incorrect processing was not their fault.