# Tax after permanently leaving Germany



## Richie22 (8 mo ago)

Hello Forum,

Kindly help me, I need some clarity about my situation and hope you can help me with answers or direct me to the right place for answers.

I moved to Germany for work in July 2021 and will leave Germany permanently to Ireland in May 2022.
I will be starting a new Job in Ireland. I consulted a tax advisor and I was told Germany will also tax my income in Ireland for thw whole year 2022 and that I will pay more tax because my salary in Ireland is an increase from what I eanred in Germany. For context, this is my situation: 

1. I am not an EU or American citizen. I will leave permenanetly and deregister my residence (Abmeldung) from Germany in May 2022
2. My Temporary Residence permit in Germany is tied to my job, since I am quitting my job and permanently leaving Germany, my temporary residence permit in Germany will no longer be valid.
3. From June 2022, I will start a new job in Ireland. So I am yet to understand why Germany will tax my income from June 2022 to December 2022 in Ireland when I will not be a resident of Germany?

Note that my income in Ireland from June 2022 to December 2022 will be taxed by Ireland, am I not at risk of being double taxed?

Please help me clarify. If anyone here has dealt with a smilar sitaution, your advice will be of help. I don't understand why I will be taxed in Germany for an income I did not earn in Germany when I do not hold German residency or citizenship. Thank you.


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## Harry Moles (11 mo ago)

A huge guess on my part, but I think this could be the source of your confusion: I believe that Germany will only tax you on the money earned in Germany prior to your departure, but the German tax rate will be based on your worldwide income for the entire year, so if you are earning more money in Ireland it will possibly put you into a higher tax bracket, thus you could pay more German tax. (Otherwise if they tried to tax you for money earned in Ireland you'd just claim a credit for Irish taxes paid - you can't be double-taxed, the country of residence always has first claim to tax income earned.) I think this is called "Progressionsvorbehalt" or something and it can trip up expats.

Or you just leave and don't tell the Finanzamt about your new job in Ireland...


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## Richie22 (8 mo ago)

Harry Moles said:


> A huge guess on my part, but I think this could be the source of your confusion: I believe that Germany will only tax you on the money earned in Germany prior to your departure, but the German tax rate will be based on your worldwide income for the entire year, so if you are earning more money in Ireland it will possibly put you into a higher tax bracket, thus you could pay more German tax. (Otherwise if they tried to tax you for money earned in Ireland you'd just claim a credit for Irish taxes paid - you can't be double-taxed, the country of residence always has first claim to tax income earned.) I think this is called "Progressionsvorbehalt" or something and it can trip up expats.
> 
> Or you just leave and don't tell the Finanzamt about your new job in Ireland...


Hello Harry, thank you very much. You answer is really helpful. I now understand. It definitely puts me in a higher tax bracket because my new job in Ireland is a 30% incease from what I earned in Germany. Thank yu once again for the anwer.


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## Harry Moles (11 mo ago)

Not that I'm advising Steuerbetrug or anything like that, but beyond your telling them I have no idea how the Finanzamt would know what you were earning in Ireland after you permanently left Germany. I'd investigate this a bit further and talk to someone who has actual knowledge of how German taxes work (something I've managed to not deal with on account of keeping my visits short).


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