Margaret Marks

Gary C: Many thanks your all your information. I will investigate the calculations in due course. I spoke to the German authorities at Neu Brandenburg and they were very helpful. In case this helps anyone else: the German tax year 2020 equates to the UK tax year 2020-21. This means that I do not have to revise all my interest payments to fit calendar years - the German authorities are happy with the April statement. The lady also said that I have until January 27 2025 to appeal, i.e. two months after the five tax statements were sent, rather than one month as it appears on paper. They are used to correspondence with other countries taking more time. She advised me to apply to be subject to unlimited tax liability in Germany. Obviously I have a few weeks to consider this. You are right of course about Amtsveranlagung - I never considered anything else, if I do pay in future. How far the nachgelagerte Besteuerung bit affects me I don't know. I haven't paid into my pension since 2002. The five tax statements give full details of how the tax on my pension is charged, including steuerfreier Teil der Rente, Werbungskosten-Pauschbetrag etc. so all that is clear.

HMRC: Thanks, I do realize that and I have written to you.

Apologies for posting again - I did find the sites and the Bavarian one gave me more tax with Progressionsvorbehalt than the BMF one when I included the Grundfreibetrag. I'm just writing this further reply to correct the last one.

I found the BMF calculator but I don't understand it. Nor do I understand everything you have written although I appreciate it. I only have about 2 weeks to decide to elect, I'll just have to try to find a tax accountant. I did use a tax accountant in the UK but he did not know my pension was taxable in Germany, nor did I. I have no idea how they can write to me in October 24 and suddenly want so much back tax including interest. Not your problem, of course.

This is so complicated! I did not understand I could not get tax relief in the UK. I must have misunderstood some other questions on this page. I think I can ask the German authorities about this. I will find the BMF calculator and the Bavarian one. Of course I realize it is not just my UK pension that applies. If you are referring to one month, the German pension is roughly 1000€ and the UK one about 100€, and then I have some amount of interest and dividends. No other income, I am fully retired. In the years from 2017 on, I did have more income - but it was all made from German clients in self-employment, in a gradually decreasing amount. It's a question of earning less than the Grundfreibetrag, not the 90% of total income. I have no idea where Sonderausgaben would apply. Presumably only if I was still earning German income? I do get a few euros from VG Wort but these are a mystery to me, for various reasons. Thank you very much.

Thank you - I know that, the German authorities sent me all the details, but I have yet to speak to them on the phone. I could qualify for unlimited treatment now, or last year, but not for the five years they've sent me statements for. What I don't know is if I want to do that. I have a mini UK pension and no other income in Germany. I will try to understand whether the election would be beneficial. If I can claim the German tax set off against my UK tax, it would not make much difference. The problem is that I only have about 2 weeks left to elect.

Thank you very much. I have a second question. In future I believe I can set the German tax off on my UK tax declaration. What about the past? I have been charged tax for five years from 2017 to 2021. If I pay that in December 2024 to January 2025, which I must, can I record that payment on my 2024-2025 tax return as that is the date of payment? Or does it relate back to those past years? (Obviously I will mention that when I write to you).

I am a UK resident, receiving a German pension based on 20 years' employment in Germany. I have been sent five tax statements to pay tax for years from 2017 to 2021 (dated 27.11.24). I was slow to realize that I might apply to be treated as subject to unlimited tax liability in Germany. But I could still appeal within one month. (Whatever happens, I do have to pay the tax by 27.1.25.) It seems to me that I might pay tax in Germany on my pension both now and in future, and I could set off that German tax. Could I also set off the current five years' demand? I cannot decide whether to consult a German tax accountant. My British former tax accountant who I wrote to at end of October has not yet found time to advise me. Who do I contact at HMRC to start things?