Submitting the tax return to the German tax office is an obligation that every taxpayer must comply with. Many individuals postpone this until the very last moment – a practice that is not advisable based on experience. Timely submission of the return is of utmost priority and should always be observed. But what happens if the tax return is submitted late? What penalties are imposed for late submission of the return to the tax office in Germany? More details follow.
### Deadline for submitting the tax return in Germany – until when is there time in 2024?
Who is required to submit a tax return was addressed in our previous article titled [“Who Needs to File a Tax Return in Germany?”](https://taxando.de/en/who-needs-to-file-a-tax-return-in-germany/). This reading is recommended for anyone who is still unsure whether they need to submit a return to the German tax office.
To explain what happens if taxes are reported late in Germany, the submission deadline must first be known. The deadline for submitting the return remains unchanged for years and ends on July 31 (in 2021, it was exceptionally extended by three months, meaning the final deadline for submitting the documents was November 1, 2021). It is important to note that these dates apply to taxpayers who file independently.
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Anyone who has sought the assistance of a German tax advisor or association has time until the last day of February of the following year.
But what happens if the tax return is submitted after the deadline? What are the consequences? More details follow.
### Penalty for late tax return – what threatens the latecomers in Germany?
A late-reported income tax in Germany leads to financial penalties arising from § 152 of the Fiscal Code. According to the law, the tax office can penalize anyone who fails to fulfill their obligation to submit the return – even if they are just late. It is important to note that receiving a penalty does not mean that the submission of the German tax return is waived.
The decision on penalizing the taxpayer lies with the tax office. The risk of receiving a penalty increases with the duration of the delay and the amount of tax liability the taxpayer has to pay.
### German taxes reported late – expect interest
Anyone who should have settled with the German tax office but has not done so must expect a back payment. The tax office will charge each latecomer interest of €25/month in 2024.
The maximum interest rate can amount to €25,000.
### Late submission of the tax return in Germany – interest is not everything
As already mentioned, failure to submit the return to the office leads to the imposition of a penalty. And no, this does not only refer to interest – as they are a separate matter. In addition to the back payment, the office may also impose a fine, the amount of which may vary depending on the taxpayer’s situation.
The German tax authorities will view someone who submits the return late for the first time differently from a taxpayer who has repeatedly failed to submit the return on time for many years.
How high can the penalty for a late tax return in Germany be? The amount of the fine ranges between €200 and €500.
### Have not submitted a tax return – is it a crime?
Late-reported taxes are one thing. But what happens if the taxpayer completely evades payment? It should be known that persistent disregard of the payment request can be considered a serious offense or even a crime. For non-payment of taxes in Germany, there is a risk of imprisonment for up to 5 years or a fine of up to €10,000.
If deadlines cannot be met, it is advisable to use our tax application software in Germany. Taxando is a tool that allows the tax return to be submitted in a few minutes and achieves a higher tax refund amount from Germany. Furthermore, if professional support is needed, our [PREMIUM package](https://taxando.de/en/tax-advisor-on-the-internet/) can be used, which offers assistance from one of our tax advisors – all completely online. Without leaving home, without loss of time – fast, convenient, and secure.
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.
