Germany Provides Tax Exemption for Special Payments to Employees Due to COVID-19
The German Ministry of Finance has announced that special payments for employees due to the COVID-19 pandemic will be exempted from tax and social security contributions. This allows employers to pay grants and subsidies up to EUR 1,500 per employee between 1 March 2020 and 31 December 2020, free from tax and contributions, provided that the special payments are paid in addition to wages owed …
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