(2023)
Claim storm damage for tax purposes!
Tax relief in the event of natural disasters
In July 2021, a devastating flood disaster occurred in Rhineland-Palatinate, North Rhine-Westphalia, Bavaria and Saxony, resulting in the loss of nearly 200 lives.
This led to damage amounting to billions and numerous devastated areas. The elimination of these damages incurs high financial burdens, which the tax authorities aim to support through tax relief.
Tax relief for flood victims
The finance ministries of the affected states have decided on tax relief measures, including the possibility to deduct expenses for the replacement of furniture, household items and clothing, as well as damage to owner-occupied houses, as extraordinary expenses for tax purposes.
The usual insurance options are also to be disregarded in this case, as many damages are not insured.
Further tax tips
- Expenses for the replacement of furniture, household items and clothing, as well as damage to the house, are considered as extraordinary expenses. The reasonable burden depends on income and family status.
- You can claim the direct tax deduction for craftsmen's services in accordance with § 35a EStG.
- Always declare your expenses in the year they were incurred in the tax return.
- Even if you receive donated funds, you can deduct your expenses as extraordinary expenses.
- Employees can apply for allowances for monthly income tax deductions at the tax office at an early stage.
There is also tax relief for damage to homes caused by local storms.
In principle, expenses for the repair of damage to your home can be claimed as extraordinary expenses, provided they are not covered by insurance. However, certain conditions apply.
You can claim the direct tax deduction for craftsmen's services in accordance with § 35a EStG. Make sure to obtain invoices and pay them by bank transfer.
For rented houses and flats, damage can be deducted as advertising costs.
