Income tax reform for 2027: the federal government’s proposal
The federal government has approved a draft income tax reform for 2027. The legislative process still has to follow, so the amounts below are not final.
Status of this information
Draft legislation · not yet a final rule
What the draft proposes
- Kindergeld: €267 per month in 2027 and €272 in 2028.
- Grundfreibetrag: €12,564 in 2027 and €12,900 in 2028.
- Kinderfreibetrag: €10,056 in 2027 and €10,236 in 2028.
- Arbeitnehmer-Pauschbetrag: an increase to €1,430.
What to do now
No special application is currently needed. We are following the final adoption and will update the information when the amounts are confirmed.
General information as of publication. Individual circumstances and the responsible institution’s rules may require additional documents or steps.