10 Common Deductible Work Expenses for Expats in Germany

As an expat in Germany, you may be entitled to deduct a wide range of work-related expenses (Werbungskosten) in your German tax return. These deductions can significantly reduce your taxable income and often lead to a tax refund.

Below are 10 typical deductible expenses for expats in Germany, explained in clear English.

1. Commuting Costs (Distance Allowance)

Expats can deduct commuting costs between their home and their primary workplace using the German distance allowance (Entfernungspauschale).

• €0.30 per kilometer (one-way)
• €0.38 per kilometer from the 21st kilometer onwards
• Applies regardless of transport method (car, train, bike)
• 
  

2. Double Household (Double Tax Residence)

If you keep your main home abroad and rent a second residence in Germany for work, you may deduct:

• Rent and utilities in Germany
• Travel costs for trips home
• Relocation-related expenses

This is a very common deduction for internationally mobile expats.

3. Relocation Costs to Germany

A job-related move to Germany is tax-deductible. This includes:

• Moving company and transport costs
• Real estate agent fees
• Travel expenses for apartment searches
• Lump-sum relocation allowances
• 
  

4. Work Equipment (Arbeitsmittel)

Expenses for professional equipment can be deducted, such as:

• Laptop, computer, monitor
• Mobile phone
• Office furniture
• Professional books and software

If used partly for private purposes, costs are deductible on a proportional basis.

5. Home Office or Home Office Allowance

Expats working from home may deduct either:

• The home office allowance (daily flat rate), or
• A dedicated home office, if it meets German tax requirements

This is especially relevant for remote workers and hybrid employees.

6. Language Courses (German Lessons)

German language courses are deductible if they are job-related, for example:

• Required for workplace communication
• Necessary for career advancement
• Used to perform professional duties

Purely private language learning is not deductible.

7. Tax Advisor Fees

Fees paid to a German tax advisor related to your income tax return are deductible as work-related expenses.

This is particularly relevant for expats with:

• Foreign income
• Multiple employers
• Complex tax residency situations
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8. Professional Training and Continuing Education

You can deduct costs for professional development, including:

• Courses and seminars
• Certifications
• Conferences
• Online training programs

The training must be directly related to your current profession.

9. Job Application Costs

Expenses incurred while applying for jobs in Germany are deductible, including:

• CV and document translations
• Application photos
• Travel expenses for interviews
• Printing and postage

These deductions also apply after relocating to Germany.

10. Phone and Internet Costs

Business-related phone and internet expenses can be deducted proportionally.

In practice, German tax offices often accept:

• A flat-rate deduction of 20%,
• Up to €20 per month, without detailed proof.

Why Expats Should File a German Tax Return

Many deductible expenses are not automatically considered by the tax office. Filing a tax return is especially beneficial for expats because:

• International tax situations are complex
• Deductible costs are often higher
• Refunds are common

Working with an English-speaking tax advisor in Germany helps ensure that all eligible deductions are claimed correctly and safely.