Field help:
(2023)
Line 14 Losses from forward transactions
Enter here the unbalanced losses from forward transactions (Termingeschäfte) according to line 14 of your tax statement.
Losses from forward transactions, in particular from the sale, closing out and expiry of options, may only be offset against gains from forward transactions and against income from option premiums up to the amount of 20.000 Euro.
Losses that have not been offset may be carried forward to subsequent years and offset against profits from forward transactions and against income from option premiums in the amount of 20.000 Euro each, if a profit or income that can be offset remains after the offsetting of losses during the year.
Important: If you do not have a (tax) statement from your bank, the losses must be taken from the accounting documents of the bank/custodian. At the request of the tax office, the losses incurred must be proven by means of a (tax) statement or accounting documents.
Since 01.01.2021, a limitation applies to the offsetting of losses. Losses from forward transactions, in particular from the expiry of options, can now only be offset against profits from forward transactions and income from option transactions. The offsetting of losses is limited to 20.000 Euro. Losses that have not been offset may be carried forward to subsequent years and offset against gains from forward transactions or against option premiums in the amount of 20.000 euros each, if an offsettable gain remains after the offsetting of losses during the year (sect. 20, para. 6, sentence 5 of the Income Tax Act (EStG)). The offsetting of losses according to sect. 20 para. 6 sentence 5 of the Income Tax Act (EStG) only takes place within the assessment process, i.e. it is not carried out by the custodian banks!
Currently, the Federal Ministry of Finance clarifies that warrants and certificates are not forward transactions, but "capital claims within the meaning of sect. 20 para. 1 no. 7 of the Income Tax Act (EStG)". This means: Losses are not limited to gains from forward transactions and limited to 20.000 Euro, but can be offset without limitation with gains from other capital investments (letter of the Federal Ministry of Finance (BMF) dated 03.06.2021, IV C 1-S 2252/19/10003:002, para. 8). However, in the case of pure "loss of value", losses may only be offset against income from capital assets in the amount of 20.000 Euro.
