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About Paul@CRCIE

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  • Location Stuttgart
  • Nationality Irish
  • Hometown Dublin, Ireland
  • Gender Male
  • Year of birth 1982
  1. Hi @kapil354, the short answer is no. The tax here in Germany will not grant tax relief on retirement products from other countries. However, the earliest age that you can draw funds from German private pension products is 62 and 63, not 67.    Hope that helps, Paul  
  2. CR&Cie - Germany : Are they still in Business?

    Hi @Emmbee, Apologies for not getting back to you. The last number of weeks have been chaotic. Can you please send me a DM here with your name / email and I will get back to you tomorrow when I am in the office?   Thanks,  Paul. 
  3. How To Get Mortgage With An EU Blue Card

    Hi Postdocdoc, The issue the bank has is not just the Blue Card, it’s mostly the temporary contracts. And tbh, I think you are lucky to have an offer at all considering you have temporary residency and temporary work contracts. Basically, even if you wait until your wife has a Blue Card, it doesn’t mean you will get a better offer at that point. Yes the Bausparvertrag is expensive but it’s Wustenrot’s way off offsetting the risk. What rate was the main loan offered to you at, can I ask?
  4. Mortgage extension for non-resident

    Hi @audioboy77, your residency really doesn't play any role here. If you decide to hold the property for a longer term refinancing the loan shouldn't be an issue, plenty of lenders will finance non-residents.    If you want a variable rate loan you should get this from your current lender but you can expect to pay something like 5% APR for the year you hold onto the property. 
  5. @venomman I work with Starshollow re mortgages. If you have two full years of accounts submitted and taxes paid then yes, there should be no issue. If you have not completed two full years of financial accounts you need to do so. PM me if you need more precise info.  
  6. Hi Kapil354,    In short the answer is no, you can't get tax relief on pension plans outside of Germany. However, as an employee you can pay into a company pension account and take a lump sum on retirement. There is no need to annuitize the account. Investment option are a little confined but you get good tax relief.    Paul
  7. Tax Return on BU Possible?

    Hi @blitzyev,   It absolutely makes sense to protect your income with a BU policy, just make sure your policy is valid worldwide, so you can keep it when you leave Germany. Most are.    You won't receive money back as it's not a savings plan. Your premiums are paying for the risk, in the event something happens you, the insurance company will then substitute your income.    Technically you can write off your premiums for BU but in reality you can't as your annual allowance is taken up completely by your health insurance premiums. However, you can wrap the insurance up with a pension meaning you get tax relief but whether a pension is suitable or not depends on your own situation and plans.    All the best.
  8. US expat tax filing and German pension funds

    My reading of the situation is a little different.  The fact the OP has not mentioned anything about an underlying life assurance I would assume he is talking about a “fondsgebundene private Rentenversicherung” which I would consider to be an “Annuity” if you look at Art. 18 of the DTA.   The private Rentenversicherung is similar to a Roth IRA. You make contributions from your after-tax income but you will pay tax only on the profits in retirement. In the real world there is no difference between a pension and annuity, the annuity being a term to describe how its benefits can be paid out at retirement. However, in the DTA,  pensions seem to be considered in terms of retirement savings from an employment and annuities in terms of a private pension / retirement contract, where an individual saves an amount in agreement for another amount at a time in the future, ie, saving when you’re earning in agreement for a pension income / annuity in retirement. It’s my understanding that it is an FBAR account and should be reported if the value is in excess of 200k USD or double that amount if married filing jointly and this threshold rule applies even if it is a “specified foreign asset“. I am not a Tax Advisor and these issues should always be run by your Tax Advisor although German Tax Advisors won’t touch these issues. On a separate note and in reply to Straightpoop’s comment: NB:  It is important to distinguish between a "pension" and an "annuity".  The former is paid "on account of past employment" and the latter is nothing more than investment income.  Pensions typically get favorable tax treatment and annuities not so much. I would disagree with this mostly. Pensions are not considered to be “on account of past employment” generally speaking as people can also purchase private pensions but it does appear to be considered this way in the DTA. Also, Annuities get good tax relief in the USA and in Germany in the form of a Rürup or Basisrente.