Ina Ree­se Tax & Legal Prac­ti­ce – Flens­burg | Harrislee

New tick box on the tax return: the Federal Ministry of Finance clarifies what code 500 means

The Fede­ral Minis­try of Finan­ce (BMF) makes it clear that the new tick box ‘Code 500’ on the tax return does not crea­te any new obli­ga­ti­ons or cri­mi­nal lia­bi­li­ty risks. 
New tick box on the tax return: the Federal Ministry of Finance clarifies what code 500 means

New tick box on the tax return: the Federal Ministry of Finance clarifies what code 500 means

Anyo­ne who has com­ple­ted their inco­me tax or VAT return this year may have come across a new fea­ture: befo­re the free-text field pre­vious­ly used for addi­tio­nal infor­ma­ti­on on the tax return, tax­pay­ers must now first sel­ect a spe­ci­fic sce­na­rio. This is done using what is known as code 500, a new­ly intro­du­ced tick box on the offi­ci­al forms.

What is the significance of the figure 500?

The free-text field alre­a­dy exis­ted. What is new is that users must now sel­ect a reason befo­re ente­ring their text, explai­ning why they are pro­vi­ding addi­tio­nal infor­ma­ti­on. Accor­ding to the Fede­ral Minis­try of Finan­ce, this struc­tu­red approach is pri­ma­ri­ly inten­ded to assist mem­bers of the public who do not have tax advice and to make the use of the field clearer.

Howe­ver, the chan­ge cau­sed con­fu­si­on and rai­sed ques­ti­ons in prac­ti­ce. Many tax advi­sers and tax­pay­ers won­de­red whe­ther the tick box crea­ted new legal obli­ga­ti­ons or whe­ther sel­ec­ting the wrong opti­on could have nega­ti­ve consequences.

DStV and BVL follow up with the BMF

In the spring of 2026, the Ger­man Asso­cia­ti­on of Tax Advi­sers (DStV) and the Fede­ral Asso­cia­ti­on of Inco­me Tax Assis­tance Orga­ni­sa­ti­ons (BVL) sub­mit­ted a joint peti­ti­on to the Fede­ral Minis­try of Finan­ce (BMF). The peti­ti­on focu­sed on spe­ci­fic ques­ti­ons: Does the tick box give rise to new dis­clo­sure obli­ga­ti­ons? What are the impli­ca­ti­ons of an incor­rect or erro­n­eous sel­ec­tion in terms of tax adjus­t­ment obli­ga­ti­ons, pro­ce­du­ral rules or even cri­mi­nal tax law?

The Federal Ministry of Finance provides clear answers

The Fede­ral Minis­try of Finan­ce (BMF) respon­ded in a let­ter dated 18 Sep­tem­ber 2026 (Ref. IV A 5 – O 1000/05888/028/009) and set out its posi­ti­on cle­ar­ly. An over­view of the key points:

  • A purely sup­port­i­ve role: The tick box is pro­vi­ded sole­ly for gui­dance and has no legal signi­fi­can­ce in its own right.
  • No new dis­clo­sure requi­re­ments: Code 500 does not give rise to any obli­ga­ti­ons that did not pre­vious­ly exist.
  • No impli­ca­ti­ons for sec­tion 153 of the Ger­man Fis­cal Code (AO): The obli­ga­ti­on to cor­rect errors iden­ti­fied at a later date remains unch­an­ged. The tick box does not alter this.
  • No impli­ca­ti­ons for Sec­tion 173 of the Ger­man Fis­cal Code (AO): The ques­ti­on of whe­ther new facts come to light at a later date and thus jus­ti­fy an amend­ment to the tax assess­ment noti­ce is not affec­ted by the tick box.
  • No cri­mi­nal con­se­quen­ces in the event of an erro­n­eous sel­ec­tion: Anyo­ne who acci­den­tal­ly sel­ects the wrong reason does not risk any con­se­quen­ces under cri­mi­nal tax law.

What does this mean for taxpayers and advisers?

The cla­ri­fi­ca­ti­on from the Fede­ral Minis­try of Finan­ce is good news. The new tick box is not a pit­fall and does not crea­te any addi­tio­nal risks. Anyo­ne who uses the free-text field and ticks the wrong cate­go­ry need not fear any pen­al­ties. The con­tent of the free-text field its­elf remains the decisi­ve factor.

For tax advi­sers, the Fede­ral Minis­try of Finance’s state­ment pro­vi­des grea­ter legal cer­tain­ty when deal­ing with the new forms on a day-to-day basis. For cli­ents wit­hout tax advice, the tick box helps them to make sen­si­ble use of the free-text field in the first place.

Anyo­ne who is unsu­re as to whe­ther and how addi­tio­nal infor­ma­ti­on should be included in their tax return would be well advi­sed to dis­cuss this with a tax advi­ser on a case-by-case basis.

Source: Hau­fe: Tax

This post and the accom­pany­ing image were crea­ted with the help of AI and have been edi­to­ri­al­ly reviewed.

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