If the expenses for the instructor activity exceed the income…
Secondary occupations as instructors, trainers, educators, carers, nurses, and artists are tax and social security-free up to 3.000 Euro per year. However, this allowance is often not reached. The question is whether losses from such secondary occupations can be offset against other income.
Previously, tax offices rejected the recognition of losses from secondary occupations, as the expenses were related to tax-free income. Expenses are only recognised if they exceed the tax-free income and both exceed the allowance of 3.000 Euro.
However, the Federal Fiscal Court ruled that losses from such activities are also deductible if the income does not exceed the allowance. This requires that the activity is carried out with the intention of making a profit and is not a hobby.
The Frankfurt Regional Finance Office and the Bavarian State Tax Office have assessed many individual cases, e.g. doctors in disability sports, holiday supervisors, rescue workers, and city guides. Principles for the tax exemption of part-time activities have also been recorded in the brochure "Tax exemption for part-time activities according to § 3 No. 26 / 26a EStG". The activity must not exceed one third of the working hours of a comparable full-time job in the calendar year, based on a regular weekly working time of 14 hours.
If you have expenses for a subsidised secondary occupation but do not earn any income, you can still claim them as anticipated income-related expenses or business expenses (BFH ruling of 6.7.2005, BStBl. 2006 II p. 163). The tax authorities accept this decision (OFD Frankfurt of 28.12.2015, S 2245 A-2-St 213).
The Federal Fiscal Court recently ruled that losses from a part-time instructor activity are deductible even if the income does not exceed the allowance. However, the prerequisite for the consideration of the loss is that the activity is carried out with the intention of making a profit and is not a so-called hobby (BFH ruling of 20.11.2018, VIII R 17/16).
If the expenses for the instructor activity exceed the income…
Which tax-free expense allowances do I need to declare?
If you have received tax-free expense allowances, please enter them here. This includes allowances received from public funds, a federal or state fund.
Employees often receive a tax-free expense allowance from part-time work. This could be as an instructor, educator, trainer in the sports sector or as an artist such as a choir director or musician, and also as a carer for sick, elderly or disabled people. It must be an educational or caregiving activity.
Payments for such eligible part-time work are tax and social security-free up to 3.000 Euro. The condition for the tax benefit is that the activity is carried out part-time, for a charitable organisation or a legal entity under public law, and serves charitable, benevolent or religious purposes.
The allowance of 3.000 Euro is granted only once per person, even if you have several eligible activities. It is therefore personal and not activity-based. The allowance is an annual amount. Therefore, payments up to the maximum amount remain tax-free even if you do not carry out the eligible activity for the entire year.
As a supporter of such an organisation, you can receive part or all of your expense allowance tax-free. However, any amounts exceeding the allowance of 3.000 Euro must be taxed. If your expense allowance is less than 3.000 Euro, you can only claim the lower amount.
Example
Ms Meier teaches at a music school and receives 2.800 Euro annually for this. She also supervises a gymnastics group at the primary school and receives another 400 Euro per year for this. Both activities are tax-privileged under § 3 No. 26 EStG, but only up to a total of 3.000 Euro. Ms Meier must tax the remaining 200 Euro.
Which tax-free expense allowances do I need to declare?
Wer kann die Übungsleiterpauschale geltend machen?
Wer als Übungsleiter von der so genannten Übungsleiterpauschale profitieren will, muss sich nicht zwangsläufig als Trainer in einem Sportverein engagieren. Die Vergünstigung kann auch bei folgenden Tätigkeiten in Anspruch genommen werden:
- Ausbildungsleiter, Ausbilder, Erzieher, Betreuer oder vergleichbare Tätigkeiten
- künstlerische Tätigkeiten
- Pflege behinderter, kranker oder alter Menschen
Die Übungsleiterpauschale ist an folgende Voraussetzungen geknüpft:
- Die Tätigkeit muss im Dienst oder Auftrag einer öffentlichen oder öffentlich-rechtlichen Institution, eines gemeinnützigen Vereins, einer Kirche oder vergleichbaren Einrichtung zur Förderung gemeinnütziger, mildtätiger oder kirchlicher Zwecke ausgeübt werden.
- Die Tätigkeit darf nicht im Hauptberuf ausgeübt werden, wobei eine Tätigkeit als nebenberuflich gilt, wenn sie zeitlich nicht mehr als ein Drittel eines vergleichbaren Vollzeitberufs in Anspruch nimmt.
- Pro Person und Jahr können 3.000 Euro steuer- und sozialabgabenfrei hinzuverdient werden. Lediglich der diesen Freibetrag übersteigende Teil nebenberuflicher Einnahmen muss versteuert werden.
Zu den begünstigten Tätigkeiten gehören danach z. B.
- die Tätigkeit eines Sporttrainers oder Mannschaftsbetreuers,
- eines Chorleiters oder Orchesterdirigenten,
- die Lehr- und Vortragstätigkeit im Rahmen der allgemeinen Bildung und Ausbildung,
- Hilfsdienste durch ambulante Pflegedienste (R 3.26 Abs. 1 LStR),
- Sofortmaßnahmen gegenüber Schwerkranken und Verunglückten, z.B. durch Rettungssanitäter und Ersthelfer (R 3.26 Abs. 1 LStR),
- Behindertentransporte.
Nicht unter die Steuerbefreiung fallen nebenberufliche Tätigkeiten in der Privatwirtschaft, für Gewerkschaften oder politische Parteien, da es hier an einem „begünstigten Auftraggeber“ fehlt.
Helfer in Impf- und Testzentren
Bereits in den Jahren 2020 bis 2022 konnten freiwillige Helferinnen und Helfer in Impf- und Testzentren die sogenannte Übungsleiter- oder Ehrenamtspauschale nutzen.
Das Thüringer Finanzministerium bestätigt, dass diese Erleichterungen auch 2023 gelten. Die Regelung ist bundeseinheitlich (Thüringer FinMin vom 9.2.2023, 1040-21-S 1901/67-18465/2023).
Für diejenigen, die direkt an Impfungen oder Tests beteiligt sind, gilt die Übungsleiterpauschale (§ 3 Nr. 26 EStG). Ab 2021 beträgt sie 3.000 Euro jährlich. Dies schließt auch Tätigkeiten zur Vor- und Nachbereitung ein. Wer sich in der Verwaltung und Organisation von Impf- oder Testzentren engagiert, kann die Ehrenamtspauschale in Anspruch nehmen.
Ab 2021 beträgt sie 840 Euro (§ 3 Nr. 26a EStG). Um die Pauschalen nutzen zu können, muss der Auftraggeber oder Arbeitgeber gemeinnützig oder ein öffentlicher Arbeitgeber sein. Die Pauschalen gelten nur für nebenberufliche Tätigkeiten, bei denen die Arbeitszeit bestimmte Grenzen nicht überschreitet.
Die Übungsleiter- und Ehrenamtspauschale sind Jahresbeträge, die nicht aufgeteilt werden können. Wenn verschiedene Tätigkeiten in den Anwendungsbereich von § 3 Nr. 26 oder 26a EStG fallen, kann der Höchstbetrag nur einmal gewährt werden.
Wer kann die Übungsleiterpauschale geltend machen?
Who receives the allowance for voluntary service?
The so-called voluntary service allowance under § 3 No. 26a EStG of a total of 840 Euro per year is subject to the following conditions:
- The activity must be carried out in the service or on behalf of a legal entity under public law, based in the European Union or the European Economic Area (e.g. federal government, states, municipalities, certain religious communities) or a tax-privileged institution and must be in the charitable, benevolent or ecclesiastical sector.
- The voluntary activity must be part-time. This means that the actual time spent must not exceed one third of the working hours of a comparable full-time job. With a regular weekly working time of up to 14 hours, it can therefore be assumed to be part-time. People who do not have a main occupation, such as housewives and househusbands, students, pensioners or unemployed persons, can also work part-time.
A significant difference from the tax exemption under § 3 No. 26 EStG ("trainer allowance") is that the voluntary service allowance does not limit certain activities. It can be claimed for any type of activity for charitable associations, church or public institutions.
The tax exemption also applies, for example, if you receive income for an activity
- as a treasurer in a club,
- for the parent car service to away games for children, or
- for work as a board member,
- as cleaning staff,
- as a groundskeeper, or
- as a voluntary referee in amateur sports
receive.
A club or corporation must observe the following: Payments to members must not be unreasonably high; that is, they must not be higher than payments to non-members. If the board receives remuneration beyond mere reimbursement of expenses, the articles of association must explicitly permit payment.
Helfer in Impf- und Testzentren
As early as 2020 to 2022, voluntary helpers in vaccination and test centres could use the so-called trainer or voluntary service allowance.
The Thuringian Ministry of Finance confirms that these reliefs will also apply in 2023. The regulation is nationwide (Thuringian Ministry of Finance of 9.2.2023, 1040-21-S 1901/67-18465/2023).
For those directly involved in vaccinations or tests, the trainer allowance (§ 3 No. 26 EStG) applies. From 2021, it amounts to 3.000 Euro per year. This also includes preparatory and follow-up activities. Those involved in the administration and organisation of vaccination or test centres can claim the voluntary service allowance.
From 2021, it amounts to 840 Euro (§ 3 No. 26a EStG). To use the allowances, the client or employer must be charitable or a public employer. The allowances only apply to part-time activities where the working hours do not exceed certain limits.
The trainer and voluntary service allowances are annual amounts that cannot be divided. If different activities fall within the scope of § 3 No. 26 or 26a EStG, the maximum amount can only be granted once.
Who receives the allowance for voluntary service?
Can I also claim trainer allowances for multiple activities?
Yes. For example, if you work as a coach for two different clubs, you can receive the allowances from both clubs tax-free, provided the allowance of 3,000 Euro is not exceeded. Simply enter the total of the two allowances in your tax return. Any amount exceeding the maximum must be taxed.
Tip
If you have different roles, one self-employed and the other employed, you must allocate this amount to one type of income in your tax return: either self-employed or employed. In this scenario, you only receive the trainer's allowance once in total.
Can I also claim trainer allowances for multiple activities?
Can additional expenses be claimed alongside the tax allowance for instructors?
Currently, the allowance for instructors, trainers, etc. is 3,000 Euro. This means that income in the area of voluntary civic engagement remains tax and social security free up to an amount of 3,000 Euro. However, expenses up to 3,000 Euro cannot be claimed additionally.
Income exceeding 3,000 Euro is taxable. However, expenses or business expenses can then be taken into account, but only if they have not been reimbursed tax-free.
Can additional expenses be claimed alongside the tax allowance for instructors?
Can I receive a tax reduction for activities not covered by the trainer's allowance?
Yes, there are tax reductions for activities that do not fall under the trainer's allowance. The trainer's allowance only applies to educational or caregiving activities.
For voluntary work in non-profit associations or public law corporations, you can receive up to 840 Euro tax-free without meeting the requirements of the trainer's allowance. This expense allowance is tax-free for each charitable activity up to this amount.
Current: The volunteer allowance is granted if the activity serves "charitable, benevolent or religious purposes" and takes place in a tax-privileged organisation or non-profit association. No further condition is required for a legal entity under public law (BFH ruling of 8.5.2024, VIII R 9/21).
Examples
Activities eligible for the 840 Euro tax reduction (BMF letter dated 21.11.2014):
- Club board, treasurer, cashier, secretary.
- Groundskeeper, hall manager, equipment manager, music librarian, fire equipment manager.
- Supervisors.
- Office staff, cleaning staff.
- Parents driving their children to football matches.
- Referee in amateur sports.
- Volunteers at welfare organisations.
- Volunteers in church activities.
- Care and training of animals, e.g. racehorses and service dogs.
- Animal carers in an animal shelter.
- Supervisory duties in a swimming pool.
- Church council.
- Patient advocates in hospitals.
Can I receive a tax reduction for activities not covered by the trainer's allowance?
