Deadline for Tax Filing Approaching on July 31: Guidelines for Selecting a Reliable Tax Consultant - Deadline for Filing Taxes: Strategies for Selecting a Competent Tax Consultant on July 31st
In Germany, the cost of hiring a tax advisor for an income tax return is regulated by the Tax Consultant's Fee Regulation (StBVV). According to this regulation, the average cost for a straightforward income tax return without income determination is approximately €430.50.
The fee is calculated as a fraction of a maximum fee, which varies based on the taxable income or the complexity of the case. For an income tax return, the fee can range from 1/10 to 6/10 of the full fee, with the average being around 3.5/10.
This average fee may increase by up to 20% if the case is more complex or time-consuming, as permitted by the chamber’s tolerance limit. For a typical income tax return scenario, where the maximum fee is €1,230 for a taxable income of around €50,000, the average fee would be €430.50.
The cost for a tax advisor's services can vary depending on factors such as workload, preparation quality by the client, and whether additional services like accounting or VAT declarations are required. Typical employee cases usually cost between €200 and €1,000.
An alternative to tax consultants are tax assistance associations, which offer advice to certain groups such as employees, retirees, students, etc., and extend the filing deadline to the end of April. The cost of these services can vary, with tax aid programs and apps like Smartsteuer, Wiso-Steuer, or Taxfix currently costing around 40 euros.
When choosing a tax advisor, it's worth considering recommendations from your personal environment and online reviews. Presenting yourself professionally in emails and inquiries can also increase the chances of a tax advisor accepting your mandate.
For those who prefer a DIY approach, Elster, the online portal of the tax office, is a free and simple way to file a tax return. However, the regular deadline for submitting the 2024 tax return is July 31, 2025.
It's important to note that finding a tax advisor with available capacity can be challenging, especially during peak seasons. The Lohnsteuerberatungsverbund can help find a suitable tax assistance association in your region, or you can use a nationwide tax advisor search service available online, which can be filtered by region, telephone area code, or specialized field.
Couples and registered partnerships can be taxed together in tax assistance associations. However, hiring a tax advisor can extend the deadline to April 30, 2026, but this extended deadline is not available with automated tax programs.
[1] StBVV (Tax Consultant's Fee Regulation) [2] Fee range for tax consultants based on the type of service and work involved [3] Fee for preparing an income tax return is between 1/10 and 6/10 of the full fee [4] Average fee may be exceeded by up to 20% according to the chamber’s tolerance limit if the case is more complex or time-consuming.
- For individuals seeking guidance with their business or personal finance taxes, the fee for a tax advisor's services can range from 1/10 to 6/10 of the full fee according to the StBVV (Tax Consultant's Fee Regulation).
- The cost of using tax assistance associations, which provide tax advice to various groups, including employees, retirees, and students, typically ranges around 40 euros for services like Smartsteuer, Wiso-Steuer, or Taxfix. However, hiring a tax advisor for a more complex tax situation might incur higher costs, such as those when preparing an income tax return.
