In Germany, there is a tax allowance due to child possession that parents can use in the annual tax return with the tax office. This allows for the reduction of the taxable base, which leads to more favorable billing conditions and the possibility of a higher refund. Today’s article focuses on the function of this allowance for an adult child.
**Child Allowance in Germany – Who Can Benefit?**
The basic allowance for parents, which they can deduct in the annual settlement with the tax office, is intended for all persons with children – both biological and adopted. It helps to reduce the taxable base, leading to a higher refund. It is granted as support to ensure adequate living and educational conditions for the child. It serves as an alternative to child benefit – only one benefit can be claimed.
**Adult Children in the Tax Return**
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The deduction related to child possession is usually possible until the child reaches the age of 18. In some cases, this period can be extended if the respective conditions are met. Children up to the age of 21 who are unemployed and actively seeking work can be included in the settlement (they must be registered with the employment office).
Sometimes, the use of the child allowance is even possible up to the age of 25. This option can be used in the following cases:
– The child is undergoing training or studying,
– The child is in a transitional phase between two training sections or between training and compulsory military or civilian service – no longer than 4 months,
– The child is unable to start or continue vocational training because no educational institution can be found,
– The child is doing an internship or voluntary service – a voluntary social year, ecological year, federal voluntary service, or international youth voluntary service,
– The child is working exclusively within the framework of training, a mini-job, or a maximum of 20 hours per week, without exceeding the income limit.
Regardless of whether the child is under 18 or of legal age, the amount of the child allowance remains the same. What is the child allowance in Germany?
**Child Allowance – How Much Is It?**
The tax allowance for children, the child allowance, allows a deduction of 6,672 euros in 2025 (6,384 euros in 2024) as well as 2,928 euros for care, upbringing, or educational purposes.
Every parent should know that the child allowance in Germany is closely linked to the child benefit paid in this country. If the monthly child benefit is not claimed, the deduction during the annual tax return can be easily used – if child benefit is received, the child allowance can only be deducted from church tax or the solidarity surcharge.
It should be noted here that it is not necessary to personally check which option is more advantageous, as the tax office takes care of this. It is informed in which case more favorable conditions can be achieved – the final decision, however, lies with the taxpayer. The decisive factor is the amount of income – child benefit is generally worthwhile for parents with higher incomes who have to pay high taxes.
**Child in the German Tax Card**
The entitlement to child benefit is automatically granted after the child is registered with the registration office. It is also entered in the electronic tax card – half of the child benefit is due to each parent (if they live together). However, this does not affect the amount of income tax deducted monthly by the employer to the tax office – this will only be relevant in the annual settlement.
**Adult Children in the Tax Return – Are Additional Documents Required?**
Since the child allowance is automatically calculated, no additional documents need to be submitted for minors. It is different if the child is already 18 years old – it must then be confirmed that they are still attending school or fulfilling another condition that grants the parents the allowance.
**Tax Return and Disabled Child**
A special case where child benefit can be claimed for an adult child is their disability. Parents of individuals who are unable to secure their livelihood due to this can make the deduction even longer than until the child reaches the age of 25 – they are considered for tax purposes without age restriction. The only condition is the existence of the disability before reaching the age of 25.
A simple and convenient way to handle all tax formalities considering the child allowance is offered by the Taxando tax application software! An innovative tool and the support of experienced advisors are available to achieve the best possible tax refund from Germany.
Maciej Szewczyk
He gained experience as a consultant on IT projects for many international companies. In 2017, he founded the startup taxando GmbH, where he developed the innovative tax app Taxando, which simplifies the filing of annual tax returns.
Maciej Szewczyk combines technological expertise with in-depth knowledge of tax regulations, making him an expert in his field. In his private life, he is a happy husband and father and lives with his family in Berlin.
