Menu
  • Locations
  • Services
  • Experts
  • Hot Topics
  • News & Knowledge
  • Career
  • About us
  • Search
  • Press
  • Events & Webinars
  • Contact
  • Language
  • Berlin
  • Cologne
  • Dusseldorf
  • Erlangen
  • Frankfurt
  • Hamburg
  • Hannover
  • Kolbermoor
  • Munich
  • Nuremberg
  • Regensburg
  • Rosenheim
  • Stuttgart
  • Tax
  • Legal
  • Advisory
  • Industries
  • Digital
  • DAC 6
  • Pillar Two
  • ESG
  • FISG
  • Tax Internal Control Framework
  • Brochures
  • News
  • Newsletter overview
  • Newsletter subscription
  • Overview
  • Culture
  • How we work
  • You&WTS
  • TALENTnetwork
  • Apply now
  • What Makes Us Stand Out
  • Our Clients
  • Our Employees
  • Awards
  • Corporate Responsibility
  • Our Management Team
  • Our Partners
  • Our History
  • Our locations
  • by Topic
  • Digital
  • Environment
  • Social commitment
  • Employee responsibility
  • Diversity
  • Partners Munich
  • Partners Berlin
  • Partners Dusseldorf
  • Partners Erlangen
  • Partners Frankfurt
  • Partners Hamburg
  • Partners Hannover
  • Partners Cologne
  • Partners Kolbermoor
  • Partners Nuremberg
  • Partners Regensburg
  • Partners Rosenheim
  • Partners Stuttgart
  • NOW@WTS
  • Press
  • Events & Webinars
  • Contact
English
German
  • English
  • German
WTS worldwide
  • WTS Global
  • Albania
  • Angola
  • Argentina
  • Armenia
  • Australia
  • Austria
  • Bangladesh
  • Belarus
  • Belgium
  • Benin
  • Bolivia
  • Bosnia & Herzegovina
  • Brazil
  • Bulgaria
  • Burkina Faso
  • Burundi
  • Cambodia
  • Cameroon
  • Canada
  • Chile
  • China
  • Colombia
  • Costa Rica
  • Croatia
  • Cyprus
  • Czech Republic
  • Denmark
  • Dominican Republic
  • Ecuador
  • Egypt
  • El Salvador
  • Estonia
  • Finland
  • France
  • Georgia
  • Germany
  • Ghana
  • Gibraltar
  • Greece
  • Guatemala
  • Guinea
  • Honduras
  • Hong Kong
  • Hungary
  • Iceland
  • India
  • Indonesia
  • Iran
  • Iraq
  • Ireland
  • Israel
  • Italy
  • Ivory Coast
  • Japan
  • Kazakhstan
  • Kenya
  • Korea
  • Kyrgyzstan
  • Laos
  • Latvia
  • Lithuania
  • Luxembourg
  • Macao
  • Macedonia
  • Madagascar
  • Malaysia
  • Mali
  • Malta
  • Mauritius
  • Mexico
  • Moldova
  • Mongolia
  • Montenegro
  • Morocco
  • Mozambique
  • Myanmar
  • Nepal
  • Netherlands
  • New Zealand
  • Niger
  • Nigeria
  • Norway
  • Pakistan
  • Panama
  • Paraguay
  • Peru
  • Philippines
  • Poland
  • Portugal
  • Puerto Rico
  • Romania
  • Russia
  • Rwanda
  • Saudi Arabia
  • Senegal
  • Serbia
  • Singapore
  • Slovakia
  • Slovenia
  • South Africa
  • Spain
  • Sri Lanka
  • Sweden
  • Switzerland
  • Taiwan
  • Tanzania
  • Thailand
  • Togo
  • Trinidad and Tobago
  • Tunisia
  • Turkey
  • Turkmenistan
  • Uganda
  • Ukraine
  • United Arab Emirates
  • United Kingdom
  • Uruguay
  • USA
  • Uzbekistan
  • Venezuela
  • Vietnam
  • Zambia
  • Services
    Services

    Learn more about our comprehensive services in the area of tax as well as relevant legal advice and financial advisory services.

    Read more
    Tax Legal Advisory Industries Digital
  • Experts
    Experts

    Our employee structure combines the know-how of industry, consulting, financial management and IT in a very special way. Learn more about our experts.

    Read more
  • Hot Topics
    Hot Topics

    Overview of the current "hot topics" in the tax industry and how we can support with individual questions

    Read more
    DAC 6 Pillar Two ESG FISG Tax Internal Control Framework
  • News & Knowledge
    News & Knowledge

    Here you will find the latest news and specials on all aspects of taxation, digitization and financial & deal advisory.

    Read more
    Brochures News Newsletter overview Newsletter subscription
  • Career
    Career

    Here you will find an overview of our development and qualification offers as well as employee offers and open positions. We look forward to getting to know you.

    Read more
    Overview Culture How we work You&WTS TALENTnetwork
    Apply now
  • About us
    About us

    Here you will find general information about the structure, special characteristics and history of WTS.

    Read more
    What Makes Us Stand Out Our Clients Our Employees Awards Corporate Responsibility
    Our Management Team Our Partners Our History Our locations
  • Search
10.09.2021

Differentiation between cash benefits and benefits in kind

Since 01.01.2020, the scope of tax-privileged benefits in kind has been restricted by a legal definition of the term "benefit in kind". This affects in particular the use of the 44 €-wage tax exemption limit for non-cash benefits, the lump sum taxation in accordance with section 37b of the German Income Tax Act (EStG) as well as the wage tax exemption limit for non-cash benefits (gifts) up to an amount of 60 € gross for personal events of employees (e.g. birthdays, marriage, service anniversary) and the 110 € wage tax exemption limit for celebrations on personal occasions of employees (e.g. service anniversary). However, vouchers and prepaid cards continue to be eligible as non-cash benefits under certain conditions.

In the letter of the Federal Ministry of Finance (following BMF) dated 13th April 2021, the tax authorities published rules for applying the amended statutory provisions, which most of them are already valid retroactively since 1st January 2020.

Only the requirements of section 2, paragraph 1, No. 10 of the Payment Services Supervision Act (Zahlungsdienstaufsichtsgesetz - ZAG) for vouchers and prepaid cards has to be met as of 1st January 2022 to apply for the tax allowances for non-cash benefits. Provider as well as employer, who distribute vouchers and prepaid cards have now to adapt their offerings to the new tax requirements. In this newsletter, we present the regulations of the BMF dated 13th April 2021.

Read full wage tax newsletter here

Susanne Weber
Partner
Certified Tax Consultant
Munich
Kersten Weißig
Certified Tax Consultant
Munich
Wage Tax Newsletter #2/2021
Differentiation between cash benefits and benefits in kind
View publication
Articles you might be interested in

WTS is continuing the expansion of its multi-award-winning VAT practice with the addition of Christoph Gach

WTS further expands its VAT practice with the addition of Christoph Gach
Read more

Changes in international tax law and country-specific tax law developments with respect to cross-border transactions

Global International Corporate Tax Newsletter #1/2023 now available
Read more

Temporary and permanent reliefs bring simplifications.

OECD publishes Safe Harbours for Pillar Two
Read more
WTS Services
Service
Wage Tax

Contact us today

Do you have any questions about our services or WTS? Please let us know. Please fill in our short contact form. We will get in touch with you as soon as possible.

Contact
Services
  • Tax
  • Legal
  • Advisory
  • Industries
  • Digital
Hot Topics
  • Sustainability Services
  • Pillar Two
  • DAC 6
  • Tax Internal Control Framework
  • FISG
Career
  • Apply now
  • Culture
  • How we work
  • You&WTS
  • TALENTnetwork
News & Knowledge
  • Newsletter overview
  • Newsletter subscription
  • Brochures
About us
  • What Makes Us Stand Out
  • Our Clients
  • Corporate Responsibility
  • Awards
  • Experts
© 2023 WTS Company Information Disclaimer Data Protection Statement