File a Tax Return Once, File It Every Year Forever? The Myth, Fact-Checked

Have you ever heard the saying "once you file a tax return, you have to file one every year"? You are not alone. It is one of the most common myths about the German tax system. Luckily, it is not really true! Let us find out why this myth exists, who actually has to file a tax return, and how you can get your taxes done without stress.

Where does the myth come from?

As with most widespread rumors, it is a mix of hearsay and frustration with bureaucracy. Many people believe that as soon as they have filed their first tax return, they are trapped in an annual tax cycle. The truth? Filing once does not automatically oblige you to submit a tax return every year.

Do you have to file a tax return every year once you have started?

Short answer: no! Filing a tax return voluntarily (Antragsveranlagung) does not mean you are committed to it for life. Whether you have to file depends on specific conditions in each tax year, regardless of whether you already filed in previous years.

Who has to file a tax return

You are obliged to submit a tax return if one (or more) of the following criteria applies:

• You are self-employed as a freelancer or tradesperson.
• You earned more than €410 in additional income (for example from side jobs or rental income).
• You received more than €410 in wage replacement benefits (for example unemployment benefit or short-time work allowance).
• You had several employers at the same time, with one job taxed under tax class 6.
• You registered tax-free allowances and your total income exceeds certain limits.
• You had capital gains on which the withholding tax was not correctly applied.
• The tax office explicitly asks you to file.
• You live abroad but are liable for tax in Germany.

If none of these criteria applies to a given year, you are not obliged to file a tax return. It is that simple.

Why file a tax return voluntarily anyway?

Even if you are not obliged to, filing a tax return voluntarily is often worth it. The average tax refund in Germany is around €1,025, money that could flow straight to your bank account. If you are skipping your tax return only out of fear of having to file every year afterwards, you can relax. That is not how it works.

Expert opinion

For most people, filing is not mandatory. I would still recommend it. In the years I filed, my family once got €3,000 back and another time €4,000. In the other years, the refund was usually around €1,000.

How can I file my tax return the easy way?

No appetite for complicated forms, tax jargon, or clunky software? Norman is here for you. We make the tax return in Germany simple, whether you are a private individual, an employee, a freelancer, self-employed, or a small business. Our platform guides you step by step, stress-free and in plain language.

• User-friendly interface: no tax knowledge needed.
• Time-saving automation: Norman automatically suggests relevant deductions and proactive tax tips.
• Expert support: simple guidance so you never miss a tax benefit.
• Complete tax return: submit accurate returns effortlessly, without an Elster account.

Conclusion

Filing a tax return once does not mean you have to file one every year. If you meet certain criteria, then yes, you are obliged to file for that year. Otherwise, the choice is yours. But do not let that freedom tempt you into giving up a potential refund. With the right tools, like Norman, the tax return can be quick, painless, and even rewarding.

Ready to find out whether you are owed a refund this year? Let Norman do the work. Your wallet will thank you.