German Tax Return (Steuererklärung) for Expats: Do You Have to File and How to Get Money Back
For many employees, filing is voluntary, and it is often worth doing. For others, it is mandatory. Here is which group you are in, the deadlines, what you can deduct and how to get through ELSTER.
Ask ten expats in Germany whether they have filed a tax return and you will get ten different answers. Some say it is compulsory and terrifying. Others say they never needed one. A few quietly admit they have been leaving money on the table for years. All three groups are partly right, and that is exactly why this topic confuses so many people.
Here is the short version: for many employees, filing is voluntary, and it is often worth doing because the Finanzamt can pay you back money that was already taken from your salary. For others, it is mandatory, and missing the deadline costs real money. In this guide I will explain which group you are in, what the deadlines look like right now, what you can deduct, and how to actually get through ELSTER without crying.
Do you have to file a tax return in Germany?
This is the question everyone asks first. The honest answer: it depends on your income situation. Your employer already withholds income tax (Lohnsteuer) from your salary every month, so if you are a single employee with one job, you are usually not forced to file. But there are common situations where you are. (You can see exactly how much Lohnsteuer is taken in our guide How to Read a German Payslip, Line by Line.)
You generally have to file a return if any of the following apply to you for the year in question:
Deadlines: what applies right now
The deadlines are the part where people get caught, so here is the current picture (checked October 2026):
| Situation | Deadline |
|---|---|
| Tax year 2025, filing yourself | July 31, 2026 (already passed). If you were obliged to file and missed it, file as soon as possible. |
| Tax year 2025, voluntary filing | You generally have four years, so until December 31, 2029. |
| Tax year 2025 with a tax advisor or Lohnsteuerhilfeverein | March 1, 2027 (February 28 falls on a Sunday). |
| Tax year 2026, which you are living through right now | Self-filing: August 2, 2027 (July 31 is a Saturday). With an advisor: February 29, 2028. |
My practical advice: do not treat the deadline as your target. Collect documents as you go and file in the spring. Your employer's Lohnsteuerbescheinigung is normally available by late February, and early filers tend to see their money sooner. Processing usually takes roughly two to six months.
What can you deduct? The expat-relevant list
This is where the money is. Germany lets you subtract work-related costs (Werbungskosten) from your taxable income. Even if you have no receipts at all, you automatically get a flat allowance of €1,230 per year (Arbeitnehmer-Pauschbetrag). You only gain extra if your actual costs go above that, so the question is what can push you over.
Home office
You can claim €6 per day you worked from home, up to €1,260 per year (210 days). With hybrid work, this adds up quickly.
Commuting
The Entfernungspauschale applies to the one-way distance between home and your first workplace, whatever transport you use, including bike or public transport. For the 2025 tax year it is €0.30 per km for the first 20 km and €0.38 per km after that. From the 2026 tax year, it is a flat €0.38 per km from the very first kilometre. If you commute fewer than 20 km, that is a real improvement.
Moving and double household costs
If you moved to Germany for a job, moving costs may be deductible when the move was mainly work-related. If you keep a household in your home country as well as one here, double household costs can apply. These are areas where a short consultation with a professional can pay for itself.
Other things people forget
How to file: ELSTER step by step
ELSTER is the official government tax portal. Yes, it is mostly in German, and yes, the first time is annoying. Here is how I would approach it.
- Make sure you have your Steuer-ID. It is an 11-digit number mailed to you after your Anmeldung (address registration). If your Anmeldung was delayed, everything else is delayed too. Not registered yet? Start with our First Steps in Germany guide.
- Register on ELSTER early. Registration involves a verification step and a certificate, so do not leave it for the last week. Start in January or February.
- Gather your documents. Lohnsteuerbescheinigung, IBAN for the refund, health insurance statements, rental contract and utility bills if you claim home office, receipts for equipment and training, and your commuting details.
- Fill in the main form and Anlage N. Anlage N is the form for employees. Add other Anlagen only if they apply to you.
- Submit and wait. You will receive an assessment notice (Steuerbescheid) in the mail or online. You have one month to object if something looks wrong.
Special situations expats run into
Mistakes I see again and again
Before you start: practical next steps
Have you filed your first German tax return, or are you still staring at ELSTER? Tell us in the comments or drop your question in our Find Around Germany Facebook group. Someone in there has almost certainly been through the exact same Bescheid.
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