Salary conversion: This is how the public transport ticket can reduce the tax load

Neustadt/Weinstraße (dpa/tmn) - Employees can benefit from tax if their employer pays their annual tickets of local public transport (public transport) as part of a salary conversion.

For this purpose, the employer must handle the payment directly with the transport provider, as the United Lay Tax Aid (VLH) declares the income tax relief association.In addition, the employees must be deducted from the gross salary for the bus and train ticket plus flat-rate control.This procedure is a salary conversion that can be taxed 25 or 15 percent.

With or without a commuter flat rate

In the first case, the 25 percent variant, employees can continue to deduct the commuter flat rate as advertising costs, i.e. 30 cents per kilometer of the simple route to work (as of 2020).In the second case, the 15 percent variant, the distance flat rate is reduced by the amount of the job ticket.

This flat-rate control of the job ticket can reduce gross revenue.This allows you to reduce your tax burden.This can be worthwhile for employees with a personal tax rate of more than 15 or 25 percent.If the employer takes over the tax, it also pays off at higher tax rates.

Working path plays a role

The type of flat -rate taxation for employees is more favorable.According to VLH, those who commute far will benefit more from the distance flat rate than an employee who lives close to his first place of work.

This means that if you can assert no or only a few costs about the distance flat rate, the 15 percent flat-rate control is cheaper for you, the experts explain.On the other hand, if you can enter the tax return many kilometers a year, you have an advantage with the 25 percent option.