tax return in europe

 Every resident of European countries is obliged to submit an annual tax return, whether it is a person, institution or company. The tax return in European countries is framed by laws, treaties and agreements. Migrant News explains the basics of dealing with this issue in Germany.

Tax evasion in Germany or the European Union does not mean non-payment of taxes, but rather it is providing inaccurate and incomplete information and data, concealing certain information of interest to the tax authority that leads to a tax reduction, changing facts or trying to defraud the finance departments or using documents Incorrect tax.

In the sense that if a person gave all his financial resources and was unable to pay taxes, this is not considered tax evasion, and specialized interests try to collect from the concerned person the amount of tax like any other debt, otherwise he will be declared bankrupt. But if proper information is not provided, this is considered tax evasion punishable by law.

Do immigrants and refugees have to turn over their property in their country?

In an interview with Muhajir News with tax advisor, Ahmed Khairy, on the issue of tax evasion, he explained that “in Germany there is nothing that obliges a person to surrender his property anywhere, and there is no internal or external law that imposes on any German or non-German citizen who is present. In Germany, he may give his bank accounts to any party, unless there is a reason for that.” Among the obvious reasons, the spokesperson says, "a crime is being investigated," especially if it's money related.

The tax advisor explained that "people are supposed to provide their income-generating property," explaining, "If anyone lives in Germany and owns any income-generating property outside Germany, he must submit it during the annual tax return, even if the agreement between the two countries (where he lives) the person and the country where he has property) stipulates that taxes are to be paid in the other country.

During the tax calculation, attention is paid to the place where the taxes are paid, and matters are settled so that double taxation does not occur. Meaning, properties should not be presented unless they generate income or have a very high value and require the payment of property tax, according to Ahmed Khairy.

As for bank accounts, Khairi explains that "there may be amounts that entail interest, and these interests are considered a type of income and require paying taxes on them in Germany or in the other country according to the agreement, but the important thing is to acknowledge them."

Why do immigrants and refugees face tax problems?

Usually, there are special problems for migrants who receive aid within the host country in the European Union. They are required, according to tax expert Ahmed Khairy, “to receive aid, they must give everything they own even if it is not material income, that is, all the property that they can It turned into cash from which they live until the money collected from it runs out, so that they can then receive aid.”

The vast majority of this category sign documents by which they declare that they do not own property, money or any income, neither in their countries nor in the European country where they reside, and if the opposite is discovered, the law considers the matter a swindle and fraud against the state, which is punishable by imprisonment and requires them to return all The amounts they received as aid.

Therefore, the tax advisor considers that "everyone who resides in Germany must make all his material income anywhere, before the state can discover unauthorized income." The spokesman explained that "it is possible to declare any amount that was overlooked in previous years, provided that the person does so and pays the resulting interests before the state discovers this, following an information exchange agreement, for example, because here the person will be punished according to the law."

What is the effect of the agreements?

The German government has treaties and agreements with all countries of the world, except for a few exceptions, such as Syria at present and some Gulf countries. These treaties aim to combat double taxation of financial income and property. Counselor Khairi clarified that "small properties, such as an apartment or a plot of land, are exempt from taxes," explaining that "the aim of these treaties and agreements is to exempt individuals' financial income and property from taxes in the two agreed states." Through these agreements, the terms are defined and where agreement is reached. Tax will be paid on what the individual owns.

Penalties

"According to German law, no one is punished or imprisoned for financial debts, unless there is a fraud or a fine that has not been paid or tax evasion," says Khairy.

Regarding the financial information of people coming from Arab countries, the tax advisor, Khairi, says that it does without exception what the West asks for courtship, and gives them the information they request unless it is confidential information, often not requested by European countries except during the investigation of a crime committed by the person concerned and punishable by law. Such as tax evasion or fraud on the state in aid, especially by refugees or immigrants who do not have a job.