(2022) Mobility premium must be applied for!

Low earners whose taxable income is below the basic allowance (10.347 Euro for single persons, 20.694 Euro for married couples) regularly pay no taxes and therefore cannot benefit from this increase. They receive a so-called "mobility premium".

Since a higher deduction for work-related expenses or business expenses does not provide them with a corresponding tax relief, they receive 14 per cent of the increased commuter allowance from the 21st kilometre. However, those with a shorter commute receive nothing.

 

From 1 January 2022, low earners have the option to choose a mobility premium of 14 per cent of the increased allowance of 38 cents from the 21st kilometre instead of the increased commuter allowance. This amounts to 0.0532 Euro per kilometre from 2022. For the year 2021, it is 0.049 Euro per kilometre (14% of 0.35 Euro).

The mobility premium is granted to low earners if the travel costs exceed the employee allowance of 1.200 Euro. It also applies to weekly family journeys home in the case of double housekeeping. The tax office determines the mobility premium and pays it directly to the taxpayer, provided it amounts to at least 10 Euro. Applying for the mobility premium can be particularly worthwhile for trainees with long distances between their home and training location, as their taxable income is often below the basic allowance.

 

Attention: Low earners usually do not have to submit a tax return. However, the mobility premium cannot be obtained without a tax return. For this purpose, a tax return must be submitted with the new "Mobility Premium" form (§ 105 para. 1 EStG, amended by the "Annual Tax Act 2020" of 21 December 2020).