Apply to close your housing subsidy account

If a one-off taxation of your home subsidy account is more favorable for you, you can apply for this informally at the German Pension Insurance Association - Central Allowance Office for Retirement Assets (ZfA).

• The ZfA will review your application and decide whether your housing subsidy account should be closed.
• You will receive a notification of approval or rejection of your application.
• If the ZfA approves your application, it will inform you of the amount to be liquidated and notify your provider and the tax office.
• Taxation will be carried out by your local tax office.

• You have used the retirement savings capital from your certified retirement savings contract with subsidized amounts for the homeowner pension subsidy (Wohn-Riester).
• You have a home subsidy account.
• The payout phase of your pension contract has already begun or is about to begin.
  

• Informal application

You cannot apply to close your housing subsidy account retroactively.

• § Section 22 number 5 sentence 5 Income Tax Act (EStG)
• § Section 92a (2) sentence 6 of the Income Tax Act (EstG)
• § Section 92b (3) of the Income Tax Act (EStG)

• Appeal
• Action before the tax court

The following information is available:

• In the case of single taxation, only 70 percent of the total amount of the housing promotion account (liquidation amount) is taken into account in the total taxable income.
• You can opt for single taxation at any time during the payout phase of your pension plan.
• If you no longer use your home yourself within 20 years of the start of the payout phase (giving up owner-occupation), the portion of the liquidation amount not yet taken into account will also be taxed.

28.03.2024