What do I need to consider when submitting an income tax return as a freelancer?
June 17, 2022 | 40,00 EUR | answered by Tatiana Herrmann
Dear tax advisor,
I am Artur Knorr and work as a freelance graphic designer. This year, I am facing my first income tax return as a self-employed individual and am unsure about the aspects I need to consider.
I have previously worked as an employee and was therefore less familiar with submitting an income tax return. However, as a freelancer, I have heard that there are some particularities that I should take into account. For example, I am unsure about which expenses I can claim as business expenses and how to correctly report my income.
Furthermore, I am concerned that I may overlook important tax benefits or make errors that could lead to additional payments. I want to ensure that I submit my income tax return accurately and efficiently in order not to miss out on potential tax advantages and protect myself from unexpected costs.
Could you please explain to me which points I must absolutely consider as a freelancer when submitting my income tax return? Are there specific forms or attachments that I need to fill out for this purpose? And what documents should I have ready for this?
Thank you in advance for your help and support.
Kind regards,
Artur Knorr
Dear Mr. Knorr,
Thank you for your question regarding your first income tax return as a freelance graphic designer. As a self-employed individual, there are indeed some particularities to consider in order to submit your tax return correctly and not miss out on potential tax benefits. Therefore, I will explain to you the most important points that you as a freelancer should definitely pay attention to.
First and foremost, it is important that you as a freelancer accurately present your income and expenses to the tax office. As business expenses, you can, for example, claim costs for your work materials, office rent, insurances, further education, trips to clients, or professional literature. However, it is important that these expenses are work-related and are documented in a comprehensible manner. Therefore, you should collect all receipts and invoices in order to be able to present them if necessary.
Furthermore, you should make sure that you as a freelancer correctly declare your income. This includes not only your fees, but also potential additional income, such as earnings from the sale of graphic designs or royalties. It is important that you fully and transparently declare your income in order to avoid inquiries from the tax office.
Regarding the forms and attachments for your income tax return as a freelancer, you should fill out the EÜR form (income surplus calculation). Here, you enter your income and expenses and calculate your profit or loss. Additionally, you should fill out attachment S to declare your self-employed income. Depending on your personal situation, it may also be necessary to fill out additional attachments, such as attachment KSK for artist social security contribution or attachment EÜR for electronic transmission.
In summary, as a freelancer, you should ensure that you carefully document your income and expenses, fill out all relevant forms and attachments, and have the necessary documents ready. It is advisable to familiarize yourself early on with the topic of income tax returns and, if necessary, seek professional help to avoid errors and take advantage of potential tax benefits.
I hope that this information is helpful to you and I am available for further questions. Thank you for your trust and good luck with your income tax return as a freelancer.
Best regards,
Tatiana Herrmann
