Government coalition plans flat rate for home office

A new flat rate is intended to make home office work tax deductible during the Corona pandemic, despite the deduction restrictions for the home office.

Since the beginning of the Corona crisis, there have been calls for a simple tax consideration of work in the home office. This is because the requirements of case law and the law make it difficult or impossible to recognize costs for work at home in most cases. Now the grand coalition has agreed on a solution that provides for a flat rate of 5 euros per working day at home. A maximum of 600 euros per year is to be allowed. The lump sum is to apply for a limited period during the Corona pandemic. However, the lump sum will be offset against the employee's lump sum of 1,000 euros. This means that only employees who can claim other income-related expenses will be able to benefit.