July 2026: 9 changes affecting expats in Germany

Image credit: nitpicker / Shutterstock.com

By Olivia Logan

Daily life in Germany usually slows during summer, but there are lots of changes coming in July 2026. Here’s what you need to know: 

1. Fuel tax cut ends

Okay, this change technically happens on June 30, but its effects will be felt in the weeks following. Since May 1, the German government has levied lower taxes on petrol and diesel, at 16,7 cents per litre.

Since then, fuel companies have had to pay less in tax, and the government expected companies to pass these savings on to customers by reducing prices at the pump. The policy made petrol and diesel a bit cheaper for consumers. 

However, the tax cut policy will be scrapped on June 30, meaning petrol and diesel prices are likely to rise in the coming weeks.

2. Stricter rules for speeding drivers

Until now, speeding drivers have been able to exploit a loophole in German law and pass on their penalty points to someone else. The legal grey area gave rise to an industry dedicated to finding someone willing to take on the points for a fee, while the real speeders got off scot free. From July 1, this loophole will be closed.

The limitation period for driving offences will also be doubled from three to six months. This means that if you commit a driving offence, you may receive a fine notice in the post up to six months after the offence was committed.

3. Mini-jobbers can make pension contributions

People employed on mini-job contracts in Germany can earn up to 603 euros per month and are exempt from paying income tax or making social security contributions.

From July 1, mini-job employees will be able to opt in to making pension contributions on a one-off basis.  If they opt in, employers will pay a flat-rate 15 percent into the employees' pension and employees will contribute 3,6 percent of their monthly wage.

4. Bürgergeld becomes Grundsicherung

Starting July 1, “Grundsicherung” (Basic Security) will replace “Bürgergeld” (Citizens’ Allowance) as Germany’s long-term unemployment benefit.

The amount that long-term unemployment benefit claimants receive each month will remain the same, but there will be stricter rules and sanctions for claimants who are found to be breaking certain requirements.

You can read more about the changes in our article German cabinet agrees to replace Bürgergeld with Neue Grundsicherung.

5. Pension payments increase

Germany’s annual pension increase will happen on July 1. The 4,24 percent increase is based on current inflation rates and means that pensioners receiving a monthly payment of around 1.000 euros will get around 42,40 euros more each month.

6. EU tax on e-commerce packages

From July 1, the European Union will levy a 3-euro duty on e-commerce parcels arriving from outside the bloc. The duty will apply to packages up to the value of 150 euros, which, according to EU figures, make up 93 percent of e-commerce parcels shipped to the EU.

You can read more about how the new duty will work in our article Ordering non-EU parcels to Germany will get more expensive from July 1.

7. Retailers must provide vape disposal

From July 1, retailers selling vapes in Germany must have a vape and e-cigarette point on the premises so customers can easily dispose of used vapes and e-cigarettes. 

The new policy is part of the broader Electrical and Electronic Equipment Act, which aims to make it easier for residents to recycle or dispose of various electrical appliances.

8. Pride events in Berlin and Hamburg

While June is International LGBTQ+ Pride Month, many of Germany’s large Pride events, also known as Christopher Street Day (CSD), take place in July. Berlin Pride will run over two days for the first time, on July 24 and 25. Hamburg Pride will run from July 25 to August 2.

Read our article Pride month: A guide to Christopher Street Day (CSD) celebrations across Germany to find out more.

9. Tax return deadline on July 31

The deadline for filing your 2025 tax return in Germany is July 31, 2026.

For tax years 2019 to 2024, the deadline for filing a return was extended to September each year due to the coronavirus pandemic. 2025 was the first year to return to the “normal filing deadline” in July.

If you work with a tax advisor to file your tax return, you have a bit more time; the deadline to file your 2025 return is not until March 1, 2027.

Important to note: If you are filing the tax declaration yourself and using ELSTER, the online system now allows you to auto-fill returns based on information submitted in previous returns. This could save you time, but tax experts have warned that auto-filling might result in smaller returns.


Olivia Logan

Editor at IamExpat Media

Editor for Germany at IamExpat Media. Olivia first came to Germany in 2013 to work as an Au Pair. Since studying English Literature and German in Scotland, Freiburg and Berlin she has worked as a features journalist and news editor.Read more

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