Filing a tax return is a dreaded task for many people – in Kassel, a pilot project now has the tax office taking over this job. Starting at the end of August, the office will send a proposed income tax assessment to a selected group of around 6,000 citizens, the Hesse Ministry of Finance announced on Thursday. They can review this proposal – and if they have no objections, they will automatically receive an income tax final notice for 2024 after four weeks.
Filing a wage tax return is worthwhile in most cases: on average, taxpayers receive around 1,100 euros back from the tax office. The submission deadline for taxpayers who are required to file and who prepare their return without a tax advisor or income tax assistance association expired on July 31.
For those who missed the deadline, the Kassel tax office will now send the proposal instead of a reminder, a ministry spokesperson said. Anyone wishing to declare additional expenses can do so within the four-week period using the Elster tax form. The Kassel tax office will review the expenses and then issue the income tax notice. However, if the proposal from the tax office does not include all income from 2024, citizens are still required to submit a tax return, the ministry emphasized.
The tax administration already has a great deal of information due to legally mandated reporting obligations – for example, on wages, pensions, and insurance, the ministry explained. Public frustration about having to submit this information themselves has been growing.
Once the pilot project is completed, it will be offered throughout Hesse to those whose tax data is complete. According to the ministry, the Kassel tax office handles the largest number of tax cases in the state relating to employee income. This provides excellent conditions for producing “meaningful and well-founded evaluations” after the pilot ends.
Hesse’s Finance Minister Alexander Lorz (CDU) said having the tax office prepare the tax return brings benefits to both sides: citizens save themselves the effort of filing, and the administration increases its efficiency. Valuable resources can thus be conserved.
The German Taxpayers’ Union, which represents tax office staff, supports the simplification. In mid-July, its chairman Florian Köbler called in the Funke Media Group for the abolition of the tax return for employees, saying there was “little potential for major tax fraud or additional revenue” in this area. Due to staff shortages, the tax administration will have to operate with about one-third less personnel by 2030.