Germany MOF Explains Income Tax Treatment of Pension, Retirement Benefits for Specific Former Employees

The German Ministry of Finance Jan. 10 posted online Letter No. 2021/1176008, explaining the income tax treatment of pension and retirement benefits for specific former employees. The explanation includes: 1) a list of international organizations paying the pensions; 2) that the taxation of the pension benefits paid to former employees of international organizations depends on the agreement with the country of that organization; and 3) an exemption from domestic taxation is available for qualified pensions received in Germany. The provisions of the letter apply from the same date. [Germany, Ministry of Finance, 01/10/22]

Reference:
View BMF Letter No. 2021/1176008. ...