investment income upon which flat rate tax was withhold, do not have to be declared in the annual income tax return. only if church tax has not been withhold or the personal income tax rate is below 25%. a tax refund on the difference between the tax rates is possible (art. 32 para. 6 german income tax act). this makes sense when the personal tax rate of the income is below 25%. the intention was that the income on investment income will not be taxed higher than their other income. a withdrawal of actual costs associated with private capital gains is however no longer permitted, the saver's allowance in the amount of 801 € will be used as deduction.