I am on a delegation here in Germany. My wife who is staying here with me on a dependent VISA was checking with her organisation if they could provide her the option of working from home (i.e. Germany). I would therefore like to know if she needs to have a work-permit for it as she might get her salary in India only and pay her tax there?
Shall I be required to declare her salary here? Will it be taxable here?

Hi exactlyh,

Did you get any updates/information on this topic? I also need to clarify some doubts regarding this situation.

Thnx

working from home .. income needs to be disclosed to Finanzamt, as the person is a tax resident too. Germany India has a double taxation arrangement. You may not have to pay extra tax.

Thanks cebit. Let me first get the work contract from the Indian Company and then I will go to Finanzamt.

Hi cebit,

After discussing this topic with some of my colleagues (German) and as well as one finance consultant, they suggested me not to go to Finanzamt because of the following reasons:

1) You are getting paid in your home country and salary will be credited to the home country bank account i.e. No income generation in Euros so no Tax
2) You will pay taxes in your home country
3) Whatever you do here sitting at home without taking any benefits from the host country won't matter to the host country govt.
4) I am still the home country citizen and living here as a dependent

I am a little confused now :-)

Thnx

@maverick

 For tax purposes - 6 month residency determines you are a tax resident of a particular country or not.

I agree with coolguy. You will have to disclose any income earned worldwide. Since India and Germany have a double taxation agreement, the tax paid in India is netted off when you declare to Finanzamt. 400 euros is tax free anyway.

Rental income earned in India, capital gains, annuity income etc needs to be added to your tax return in Germany.

To be 100% sure, go to a tax consultant. Most of us in this forum and your colleagues are not professional tax consultants. 

Thanks coolguy and cebit, got your points.

I agree with cebit but one correction. Correct me if I'm wrong.

400€ (increased to 450€) is only tax free when the job done is referred as Mini Job and done in Germany.

As the OP is married and spouse not working, I asssume he is using the Taxcalss 3, with that all the tax-free allowances already used up.

Implies every penny is added to the total income and the tax bracke tis calulated accordingly.