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Is this the correct way for employers to send holiday payouts?

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I quit my employer and they didn't want me to take vacation days so they said they will pay it out to me.

  • Quit Employer A in month 2
  • Joined Employer B in month 3
  • Employer A sent additional payslip in month 3 as if I continued working with them and paid me salary towards 'wage-hours' even though I did not work for them. This payment is equivalent to the vacation days left when I quit. The 'vacation' section of the payslip is empty and was always empty in all payslips.
  • Therefore, in 'Month 3', I received payslips from both Employer A and Employer B.


Problems:
1. I was automatically put into Tax Class 6 for having two employers at the same time even though I never actually worked for two employers at the same time. For the next 10 months, I was taxed according to Tax Class 6 from my new employer.

Even if I get the tax class switched back to tax class 1 at my new employer, I am unsure about what to put in my tax return application so that I get back my overpaid taxes for the past 10 months. If I say I belong in Tax Class 1 in my tax return, isn't it technically not true because according to payslips sent to the tax office, I worked for both Employer A and Employer B in month 3 even though in reality I only worked for Employer B. 

2. I have a weekly limit of 20 hours. In the first week of month 3, because Employer A paid me vacation money in 'wage-hours', I technically surpassed the 20 hour limit without actually working more than 20 hours.

Furthermore, Employer A submitted wrong name to social security office. (i know i can get it corrected but it caused me a lot of mental distress)

Is there a way to fix the problem with Tax Class?

Is there a way to sue Employer A for causing so much trouble?

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4 hours ago, freedomisgood said:
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Problems:
1. I was automatically put into Tax Class 6 for having two employers at the same time even though I never actually worked for two employers at the same time. For the next 10 months, I was taxed according to Tax Class 6 from my new employer.

You could have visited finanzamt and changed your tax class to 1 after 3 months for company B, when employment for first job ended. 

 

4 hours ago, freedomisgood said:


Even if I get the tax class switched back to tax class 1 at my new employer, I am unsure about what to put in my tax return application so that I get back my overpaid taxes for the past 10 months. If I say I belong in Tax Class 1 in my tax return, isn't it technically not true because according to payslips sent to the tax office, I worked for both Employer A and Employer B in month 3 even though in reality I only worked for Employer B. 

It's not that you have to state tax class one place. When you file for tax declaration, you will provide detail of two Income statement. Ie income details from company A for months 1 - 3 and income details for company B from months 3-12. Finanzamt already should have all your paid taxes. They will add all your income and  determine how much you should have paid for the year being tax class 1. They will return the difference or be asked to pay depending upon you paid more or less.tax

 

4 hours ago, freedomisgood said:



2. I have a weekly limit of 20 hours. In the first week of month 3, because Employer A paid me vacation money in 'wage-hours', I technically surpassed the 20 hour limit without actually working more than 20 hours.

I doubt finanzamt will be interested in it but could be problem for ausländerbehörde if you exceeds certain work days hours in an year. (assuming you are student, due to 20 hrs restriction).

 

4 hours ago, freedomisgood said:

Furthermore, Employer A submitted wrong name to social security office. (i know i can get it corrected but it caused me a lot of mental distress)

Well you should have checked your salary slip and the social registration slip for correctness of data. If I were you then just follow the procedure of correcting the name. 

 

4 hours ago, freedomisgood said:


Is there a way to fix the problem with Tax Class?

Visit finanzamt and fill up a form and it will be done. 

 

4 hours ago, freedomisgood said:

Is there a way to sue Employer A for causing so much trouble?

Well you can try but it will be futile. As they didn't technically cause you any damage apart from wrong name, which you yourself fail to correct. Technical. Mistake happens all. The time. 

Just follow the procedure to correct the name and tax class. No need to distress.

 

If you know tax filing do it and your excess will be returned. If you are not sure then find a LOHI tax personal nearby and they will help you to get all the excess money back. 

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3 hours ago, vivanco said:

 

It's not that you have to state tax class one place. When you file for tax declaration, you will provide detail of two Income statement. Ie income details from company A for months 1 - 3 and income details for company B from months 3-12. Finanzamt already should have all your paid taxes. They will add all your income and  determine how much you should have paid for the year being tax class 1. They will return the difference or be asked to pay depending upon you paid more or less.tax

 

I am using TaxFix English tax filling application to file my tax return. It asks me to provide information about which Tax Class is written on my annual Lohnsteuerbescheinigung that I received from my employer.

 

1. In my Lohnsteuerbescheinigung, my tax class is 6. So, when filing my tax return, in the section where I need to fill tax class, should I write tax class 6 or tax class 1?

 

2.You said the tax office will 'will add all your income and  determine how much you should have paid for the year being tax class 1'.

But how will the tax office know that I belong in tax class 1 if in their database I have tax class 6 and I continue to be billed in tax class 6?

 

3. Should I ask my employer to notify the tax office that I was billed wrongly under tax class 6 for the past 10 months? Or is it good enough if they change it to tax class 1 going forward?

 

4. Should I wait until my employer fixes the issues with tax class before I file tax return for the previous year? 

I assume it makes sense to wait for the employer to notify tax office about the mistske before I file my tax return so that the tax office knows that I belong in tax class 1 and not 6.

 

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2 hours ago, freedomisgood said:

 

I am using TaxFix English tax filling application to file my tax return. It asks me to provide information about which Tax Class is written on my annual Lohnsteuerbescheinigung that I received from my employer.

 

1. In my Lohnsteuerbescheinigung, my tax class is 6. So, when filing my tax return, in the section where I need to fill tax class, should I write tax class 6 or tax class 1?

 

From what you wrote, you should have two Lohnsteuerbescheinigung from last year. One with tax class 1 and one with tax class 6. So you need to put the both the data one after another. After putting information from 1st Lohnsteuerbescheinigung, the software should ask if you want to add another income. 

 

 

Quote

 

2.You said the tax office will 'will add all your income and  determine how much you should have paid for the year being tax class 1'.

But how will the tax office know that I belong in tax class 1 if in their database I have tax class 6 and I continue to be billed in tax class 6

Your Lohnsteuerbescheinigung data is already with the finanzamt. They will just veryfy your input with that in their system. Based on your Family situation, they know you should be in tax class 1. So their system will calculate your tax liability based on that. 

 

Quote

 

3. Should I ask my employer to notify the tax office that I was billed wrongly under tax class 6 for the past 10 months? Or is it good enough if they change it to tax class 1 going forward?

 

Good enough if they just change it forward. Your employer doesn't have control over which tax class you are in. Their software gets the information automatically from finanzamt. So visit finanzamt and get it changed. 

 

Quote

 

4. Should I wait until my employer fixes the issues with tax class before I file tax return for the previous year? 

I assume it makes sense to wait for the employer to notify tax office about the mistske before I file my tax return so that the tax office knows that I belong in tax class 1 and not 6.

It shouldn't matter in my opinion. I doubt your employer can fix the tax class issue.You need to change that with the finanzamt Directly or with the elster software online. I changed Recently my self through elster software and it worked. Perhaps your case might be different. 

 

 

Good luck

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2 hours ago, vivanco said:

 

From what you wrote, you should have two Lohnsteuerbescheinigung from last year. One with tax class 1 and one with tax class 6. So you need to put the both the data one after another. After putting information from 1st Lohnsteuerbescheinigung, the software should ask if you want to add another income. 

 

 

 

Yes, I have two Lohnsteuerbescheinigung, first for Jan & Feb with tax class 1 and second for March to December with tax class 6. 

 

My question is if I should put tax class 1 in both Lohnsteuerbescheinigung sections on TaxFix even though in reality one of my Lohnsteuerbescheinigung says Tax class 6. I want to put tax class 1 in both because that's the correct tax class I should be in.

 

Anyways, I assume it does not really matter what tax class i put in the Lohnsteuerbescheinigung section of the tax return form... Because they don't look at tax class when calculating the return. They just look at total income and taxes already paid, right?

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3 hours ago, freedomisgood said:

 

My question is if I should put tax class 1 in both Lohnsteuerbescheinigung sections on TaxFix even though in reality one of my Lohnsteuerbescheinigung says Tax class 6. I want to put tax class 1 in both because that's the correct tax class I should be in.

 

 Put the tax class according to lohnsteuerbescheinigung. Since you are using online software do a little experiment. just fill up all the details and see what does the software predict the money you get back, just Don't submit. Then play with putting tax class 1 or others. 

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