Term and Definition: Travel Expenses
In German law, travel expenses refer to all costs incurred by traveling certain distances in connection with legally relevant circumstances. They particularly include expenses for using public transportation, private or business vehicles, and associated incidental costs. Travel expenses are a key concept in tax law, labor law, social law, and other legal fields, since their calculation and deductibility are often regulated by law.
Legal Basis and Systematics
Tax Law Classification of Travel Expenses
For income tax purposes, travel expenses are primarily relevant in connection with income-related expenses (§ 9 para. 1 sentence 1 EStG) and business expenses (§ 4 para. 4 EStG). Depending on the reason for the journey, a distinction is made between journeys between home and the main place of work and business or work-related trips away from the usual workplace.
a) Journeys between home and main place of work (§ 9 para. 1 sentence 3 no. 4 EStG)
This refers to the classic commuting route, for which the so-called distance allowance (commuter allowance) of €0.30 per kilometer (since 2021 from the 21st kilometer €0.35, from 2024 €0.38) is granted, regardless of the means of transport used.
b) Journeys in the course of an external activity (§ 9 para. 1 sentence 3 no. 4a EStG)
Travel expenses arise when an employee is engaged outside the main place of work on behalf of the employer. In such cases, the actual travel costs—such as train, flight, taxi fares, or business use of a personal vehicle (e.g. lump sum of €0.30 per kilometer for cars, €0.20 for motorcycles and bicycles)—can be claimed as income-related expenses.
c) Business expenses (§ 4 para. 4 EStG)
Self-employed persons and business owners can claim business-related travel costs as business expenses. The amount and method of deduction depend here, too, on either the actual costs or the mileage allowance.
Travel Expenses in the Context of Business Trips
For business trips, not only income tax rules but also travel expense law regulations apply. Reimbursement of travel costs is usually made in accordance with the Federal Travel Expenses Act (BRKG) for public sector employees or according to individual collective bargaining agreements or employment contracts in the private sector.
Aspects of Social Security Law
In social security law, travel expenses may be relevant in connection with commuting accidents, patient transport (§ 60 SGB V), or benefits for participation in working life (§ 53 SGB IX). Here, the legislator partially provides for reimbursement for proven travel expenses for specific purposes, for example for trips to the doctor, to one’s home, or back to the workplace within the scope of a measure.
Travel Expenses in Civil Law and Procedural Law
In civil law, travel expenses regularly arise as reimbursable items of damage. In traffic accidents or other liability cases, they form part of the damage to be compensated. In procedural law, travel expenses are also recognized as necessary expenses under § 91 ZPO as well as the Judicial Remuneration and Compensation Act (JVEG)—for example, as witness or expert compensation.
Calculation and Proof of Travel Expenses
Lump Sums and Actual Expenditures
The deductibility of travel expenses for tax purposes can be based on lump sums or actual costs. For work-related travel, all evidence such as tickets, fuel receipts, invoices for rental vehicles, etc., can be itemized. Alternatively, if no higher costs can be proven, lump sums may be applied, for example, per kilometer traveled.
Proof and Documentation Requirements
The tax office regularly requires detailed proof of incurred travel expenses. For business trips, travel expense reports, logbooks, and valid receipts are necessary. When claiming the distance allowance, an itemized breakdown of travel expenses is usually not required, provided the information is plausible.
Special Features for Different Means of Transport
Public Transportation
The actual ticket prices as well as necessary surcharges (e.g., reservation fees) can be claimed as travel expenses.
Own Car
Here, a distinction must be made between the use of the mileage allowance and the individual cost approach. For the latter, a complete logbook must usually be kept, and all costs (fuel, maintenance, insurance, tax, depreciation) must be calculated proportionally.
Bicycles, E-bikes, and Other Vehicles
Lump sums also exist for bicycles and other less common means of transport (e.g., €0.20/km). Recognition is, however, conditional upon a professional or business purpose.
Distinctions and Exclusions
Privately motivated journeys do not count as deductible or reimbursable travel expenses. Travel between home and a secondary workplace or activity site is only considered for tax purposes to a limited extent.
Special consideration is also given to so-called group journeys, car pools, and trips related to maintaining double households. Separate rules regarding maximum amounts and documentation requirements apply to each.
Travel Expenses in Specific Areas of Application
Travel Expenses in the Context of Legal Aid and Victims’ Compensation
When legal aid is granted, travel costs for getting to court or attending hearings may be covered (§ 122 ZPO, § 183 VwGO). In victim compensation law, travel expenses count as necessary reimbursable costs.
Travel Expenses in Social Law
In statutory health insurance, travel expenses for journeys to medically necessary treatments are partially reimbursable (§ 60 SGB V). Approval by the health insurance provider is usually required in advance, except in acute emergencies.
Travel Expenses in Case of Disability and Severe Disability
Persons with a severe disability may, under certain conditions, claim higher travel expense deductions or additional mileage allowances (§ 33b EStG).
Relevant Case Law and Administrative Practice
The interpretation of the term travel expenses is regularly clarified by case law, in particular by the Federal Fiscal Court (BFH). Administrative instructions and letters from the Federal Ministry of Finance (BMF) provide additional guidance, especially on the differentiation and recognition of travel expenses for tax purposes.
Summary
Travel expenses are a significant cost concept with far-reaching legal relevance in various areas of law. Their recognition, calculation, and reimbursement are governed by specific regulations depending on the legal basis, especially in tax law, social law, and procedural law. Proper documentation is always required for practical assertion and reimbursement, as is precise allocation of the relevant cost item to statutory provisions. Travel expenses thus form a central component of many German legal cost and reimbursement systems.
Frequently Asked Questions
What legal requirements must be met for travel expenses to be tax-deductible?
To claim travel expenses for tax purposes, income tax law requires that the expenses be related to the professional activity (§ 9 EStG). In particular, there must be a business reason, such as journeys between home and the main place of work or travel in the course of business-related activities (business trips). Private journeys are generally excluded. For employees, not the actual amount but the standard distance allowance applies, currently €0.30 per one-way kilometer per working day (§ 9 para. 1 no. 4, 4a EStG). Proof of travel is required, usually via employer certificates, travel expense reports, or a properly kept logbook. For the self-employed, stricter rules apply, as they usually must prove the business reason in detail. Furthermore, no other tax or financial reimbursements may have been claimed for the journeys in question.
What are the evidentiary requirements for claiming travel expenses?
For tax recognition of travel expenses to be granted, comprehensive and auditable proof is required. Employer certificates, business trip statements, or—in exceptional cases—self-issued vouchers are accepted by the tax authorities if they document the specific journey, date, starting and destination points, and purpose of the trip. When using a private vehicle for business purposes, self-employed individuals are legally required to maintain a logbook; this must be kept continuously, promptly, and in closed form. For public transportation, submission of tickets or booking receipts is essential. Since 2014, more and more electronic records such as apps or digital logbooks are being accepted, but these must comply with requirements for immutability and traceability. If proof is lacking, deduction can be denied in whole or in part.
How do travel expenses differ legally for employees and for self-employed persons?
Employees generally claim travel expenses as income-related expenses in their income tax returns. In this case, the legislator is more restrictive, typically limiting the deduction to the distance allowance, regardless of the actual means of transport. Only in the case of business-related travel to external locations (e.g., business trips) may employees claim actual costs (§ 9 para. 1 no. 4a EStG). By contrast, self-employed persons record travel expenses as business expenses (§ 4 para. 4 EStG), wherein all journeys directly related to their entrepreneurial activity are deductible. In addition to the vehicle’s actual costs, they may also claim prorated costs for insurance, taxes, and depreciation (AfA) if there is proven business use. The demanding documentation requirements typically necessitate a properly kept logbook for the self-employed.
What statutory provisions apply to the distance allowance (“Pendlerpauschale”)?
The distance allowance is governed by § 9 para. 1 no. 4 EStG and generally amounts to €0.30 per kilometer; from the 21st kilometer onwards, it is currently €0.38 (limited until 2026). It applies for the one-way distance between home and the main place of work and is capped at €4,500 per year if no own car is used. The allowance applies regardless of the means of transportation—on foot, by bicycle, car, public transport—except in carpooling arrangements unless exceptional costs are proven. It may be claimed only once per day and per journey. The statutory basis differs from other travel expenses in that it allows a lump-sum (rather than actual) deduction. Special regulations exist for people with disabilities (disability rating of at least 70, or at least 50 with significantly restricted mobility), who may claim actual costs.
What special considerations apply to travel expenses for work-related duties or business trips?
For work-related external duties (e.g., business trips to changing workplaces, client visits), the actual travel costs—that is, verifiable expenses for tickets, taxis, or the mileage rate for car use—may be claimed as income-related expenses (for employees) or business expenses (for the self-employed) for tax purposes (§ 9 para. 1 no. 4a EStG). When using a car, either a flat rate per kilometer (currently €0.30/km for cars, €0.20/km for motorcycles, etc.) or a mileage cost rate based on a logbook can be applied. The crucial requirement is always proper documentation, including details of destination, purpose, route, and date. For business travel abroad, any tax restrictions and special rules of the destination country must also be considered. Any employer subsidies received must be offset against the claimed expenses.
When are travel expenses to or from the main place of work not deductible?
Travel expenses between home and the main place of work are in principle only deductible via the distance allowance (§ 9 para. 1 no. 4 EStG). Further costs (such as for daily detours, multiple daily trips, or detours for childcare) are expressly not recognized by law. If employees are assigned to a fixed workplace outside their regular location (e.g., transferred to another site), the rules for the distance allowance also apply from the time the new workplace is determined. Double or multiple claims, for example in the case of multiple jobs or workplaces, are generally prohibited—only the longest route may be claimed.
How are travel expenses treated when using multiple means of transport?
Anyone who combines several modes of transport for commuting or business travel (e.g., bicycle and train or car and bus) may generally claim the proven or standard costs for each section, but only within the legally permissible scope. For journeys between home and main place of work, the distance allowance always applies, regardless of the means of transport. For work-related external duties, actual costs per section can be claimed if documented (combination tickets, separate receipts, mileage figures). Combining different means of transport does not increase the maximum deductible amount, but remains within the statutory limits for the distance allowance or actual employer subsidies. Double deduction for overlapping routes (e.g., parallel use of car and train for identical sections) is not permitted.
