Understanding Your Annual Wage Tax Certificate (Lohnsteuerbescheinigung) and Its Role in Filing Taxes
Many expatriates working in Germany receive a Lohnsteuerbescheinigung (annual wage tax certificate) from their employer by late February each year. This document summarizes income earned, taxes withheld, and social security contributions, forming an essential part of your German tax filing. While it may look complex at first glance, understanding the Lohnsteuerbescheinigung can help expats avoid errors, optimize tax reporting, and ensure compliance with both German and foreign tax obligations.
In this guide, we explain the purpose of the Lohnsteuerbescheinigung, what information it contains, and how it affects your tax return. We also answer the most frequently asked questions we receive from many clients living as expats in Germany.
Obtaining the Lohnsteuerbescheinigung
When should I receive my Lohnsteuerbescheinigung from my employer?
You should receive it by the end of February following the tax year. Employers often share it with the pay slip for the month of January or February.
What if my ex-employer hasn’t sent my Lohnsteuerbescheinigung after I left the job?
You can request the document directly from your former employer; they are legally obliged to provide it. If you lost it, please request a copy.
How do I request a Lohnsteuerbescheinigung if I changed jobs mid-year?
Each employer issues a separate certificate for the period you were employed with them.
Understanding the Contents
What does the left column on my Lohnsteuerbescheinigung mean for tax class and deductions?
The ELStAM column shows your tax class, child allowances, and other withholding-related information used by your employer.
Why does my Lohnsteuerbescheinigung show withheld Lohnsteuer, Soli, and church tax separately?
These are itemized to reflect the different components of payroll tax deducted from your salary.
How do I read taxable gross wages and social security contributions on the Lohnsteuerbescheinigung?
Gross wages indicate total taxable salary, while social security contributions show amounts deducted for pensions, health insurance, and unemployment.
Tax Filing Role
Do I need my Lohnsteuerbescheinigung to file a German tax return (Einkommensteuererklärung)?
Yes, it serves as the main document summarizing your employment income and withheld taxes.
Can I file my taxes without the Lohnsteuerbescheinigung if it’s delayed?
You can file using pay slips or provisional information, but the final certificate should be included once available.
I came to Germany mid-year and the Lohnsteuerbescheinigung shows only the income earned in Germany. What does this mean?
The certificate only reports income earned while you were employed in Germany; any foreign income must be declared separately on your German tax declaration.
Errors and Corrections
What if there’s a mistake in my Lohnsteuerbescheinigung, like wrong tax class or income?
Contact your employer promptly, as they can issue a corrected certificate even after submission to the Finanzamt.
Can my employer correct the Lohnsteuerbescheinigung after sending it to Finanzamt?
Yes, corrections can be submitted to the tax office, and the updated information will adjust your tax record.
Expat-Specific Issues
Does my Lohnsteuerbescheinigung account for foreign income or double taxation credits?
It typically does not; foreign income and foreign tax credits must be reported separately in your German tax declaration.
How does the Lohnsteuerbescheinigung interact with my foreign tax declaration for expats?
It provides the German payroll information including tax withholdings in Germany. Due to the worldwide income principle, you additionally need to report income from your home country of from other sources, e.g. rental and investment income.
I am on an international assignment with my employer and my spouse is working in a mini-job. Is there a Lohnsteuerbescheinigung for a mini-job?
If your spouse is working a mini-job while you are on an international assignment, no Lohnsteuerbescheinigung will be generated for the mini-job unless the income is subject to social security or payroll tax.
Unsure How to Use Your Lohnsteuerbescheinigung?
For many expats, reviewing the Lohnsteuerbescheinigung and integrating it with other income sources can feel complicated, especially if foreign income or multiple jobs are involved. Professional guidance can ensure your German tax declaration is accurate and compliant while reducing stress and potential errors.
At Prinz.tax Steuerberatung GmbH, we assist expats in preparing German tax declarations for employees and freelancers including their families. With our expertise, you can confidently navigate your tax declaration in Germany and optimize your tax filing.
