In September, workers in Germany will receive €300 as part of government measures agreed earlier this year to help people deal with the rising cost of energy.
The payout will be subject to tax and should arrive along with employees’ September pay packets. Self-employed people can deduct it from their advance tax payments from September or when they submit their tax return next year.
READ MORE: What you need to know about Germany’s €300 energy relief payout
We looked at whether cross-border commuters can get the payment following a question from a reader of The Local.
I live in Germany but I work in another country. Can I get it?
Yes. Due to Germany’s location in Europe, many people live in the Bundesrepublik but work in one of the neighbouring countries, such as Austria or Switzerland.
And there’s good news for them: cross-border commuters who are subject to unlimited tax liability in Germany and receive income from employment with a foreign employer in 2022 are entitled to the payment, known as the Energy flat rate or EPP in Germany.
“The entitlement to the EPP exists irrespective of whether Germany also has the right to tax the salary,” says the German government.
Employers in Germany will generally make the €300 payment as part of employees’ salaries.
“However, the foreign employer does not pay EPP under German law,” says the government.
Instead, employees in this position will receive the payment from their tax office “via the submission of an income tax return for the year 2022”, added the government.
I work in Germany but I live in another country. Can I get the payment?
In this case, the answer is no. Workers have to be residents in Germany to be entitled to the payment.
“Taxpayers without residence or habitual abode in Germany, in particular employees with limited income tax liability, are not eligible,” says the German government.
Vocabulary
Cross-border commuters – (die) Grenzpendler
Neighboring country – (the) neighboring country
Employer – (the) employer
Lives abroad – lives abroad