Why It Makes Sense to File an Income Tax Return

Nov 1, 2023


Many people view the annual income tax return as a burdensome duty. However, this attitude can lead to missing out on valuable financial benefits. In this article, we explain why it is sensible to take the time to file your income tax return.

Possibility of Tax Refunds

One of the most obvious reasons for filing a tax return is the chance of a tax refund. Often, you may have paid more taxes than necessary. Through the tax return, these overpayments can be reclaimed.

Uncovering Tax Advantages

Filing your tax return also offers the opportunity to claim various tax benefits. These include advertising costs, special expenses, or extraordinary burdens. Many of these items are often overlooked in everyday life but can lead to significant tax savings.

Special Tax Benefits for Expats

Especially for expats, the tax return can be a source of unexpected tax benefits. International moves, double household management, or special educational expenses are just a few examples of items that are often overlooked but can significantly contribute to reducing the tax burden. By accurately detailing such expenses in the tax return, a higher refund can be achieved or the tax burden effectively reduced.

Legal Obligation and Avoidance of Penalties

In certain cases, filing a tax return is legally required. This applies, for example, to self-employed individuals or if you have additional income besides your salary. Ignoring this obligation can lead to back payments and penalties.

Better Financial Overview

Creating a tax return forces you to get a precise overview of your finances. This financial self-analysis can help you better understand and manage your income and expenditures.


Filing an income tax return may initially seem like a tedious task, but it offers many benefits. From potential tax refunds to exploiting tax advantages to a better financial overview – the reasons to dedicate yourself to this task are numerous and significant.

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