SteuerGo FAQs

What is the asset limit for tax-deductible maintenance payments?

If you support a dependent relative, you may be able to claim these payments for tax purposes under certain conditions (§ 33a para. 1 EStG). A key condition is that the person being supported has only limited assets. The asset limit is 15,500 Euro. If the assets exceed this amount, the payments cannot be recognised as extraordinary expenses.

Exempt assets are not considered

Not all assets are taken into account in the calculation. Exempt assets include, among others:

• a reasonable house property occupied by the recipient of the maintenance,
• assets whose sale would be tantamount to a giveaway.

BFH ruling: Important clarification on asset calculation

The Federal Fiscal Court (BFH) confirmed in a recent ruling (29.02.2024, VI R 21/21) that the asset limit of 15,500 Euro still applies. In the case in question, the claimant claimed maintenance payments for his son. The tax office refused recognition because the son's assets were too high.

The case: On 1 January 2019, the son had a bank balance of 15,950 Euro, which included an advance payment of 500 Euro for January 2019. However, the BFH ruled that this advance payment should not be included in the asset calculation as it only became effective for tax purposes in 2019 (§ 11 EStG). This meant the son's assets were actually 15,450 Euro, within the permissible limit.

Asset limit unchanged since 1975

Despite inflation and rising living costs, the BFH sees no need to adjust the asset limit. It is above the tax-free allowance (2019: 9,168 Euro) and allows those in need a certain "nest egg". The ruling also clarifies that monthly maintenance payments are only counted as assets if they have not been used.

Conclusion:  In 2024, the harmless asset limit is 15,500 Euro, above the tax-free allowance (2024: 11,784 Euro). Maintenance payments can still be claimed for tax purposes if the assets of the supported person do not exceed this limit. Taxpayers should therefore carefully check whether all conditions are met to successfully assert their claims with the tax office.