> For the complete documentation index, see [llms.txt](https://help.immodio.app/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.immodio.app/en/anleitung/einnahmen-und-ausgaben/buchhaltung-erweiterung/10051000-fahrzeug-versicherungen.md). # Vehicle insurance Help on the Immodio entry item Vehicle insurance.
Use this category for a **vehicle's insurance contributions**, as far as the vehicle serves your letting activity and you take the actual vehicle costs into account for tax. ### What can be entered here? Contributions for **motor third party liability insurance, partial comprehensive insurance and fully comprehensive insurance** in particular can be recorded here, as far as the insured vehicle is used for your letting activity and the actual vehicle costs are applied. The tax authorities expressly count both keeper's liability insurance and vehicle insurance among a vehicle's **total costs**. Those total costs also include fuel, maintenance, repairs, vehicle tax and depreciation, among other things. ### A connection with the letting is necessary The fact that you are a landlord and also own a car is not sufficient. Only expenditure serving to acquire, secure or maintain the income concerned is income-related expenditure. Insurance contributions can expressly be income-related expenditure where they relate to items that serve to generate income. A connection with the letting can exist, for example, where the vehicle is used regularly for managing your properties, handovers of apartments, viewings, appointments with tradesmen, inspections of building sites, owners' meetings or other appointments relating to the properties. The Federal Fiscal Court confirms in principle that vehicle costs in connection with income from letting and leasing can be taken into account as income-related expenditure, as far as they are attributable to that type of income. ### With partial private use, do not deduct the whole insurance With private landlords a car is frequently used both privately and for the letting. The full insurance contribution may then not automatically be attributed to the letting income. #### Example Annual mileage: **20,000 km** Of which trips relating to the letting: **2,000 km** The letting share: **10%** The annual insurance contribution: **€1,000** Where the actual vehicle costs are split by an appropriate ratio of kilometres, the following is arithmetically attributable: **€100** to the letting. With vehicles used for mixed purposes the Federal Fiscal Court has applied a split based on the ratio of the kilometres used for each purpose to the total mileage. ### Insurance tax is not VAT On an insurance contribution you can see, for example: **the insurance contribution net of insurance tax** plus **19% insurance tax** At first sight that looks similar to an ordinary invoice with 19% VAT. In tax law, however, it is something completely different. {% hint style="warning" %} Services under an insurance relationship are **exempt from VAT under Section 4 no. 10 of the German VAT Act**. {% endhint %} The insurance premium is instead subject to the German Insurance Tax Act. Under Section 6 of that act the general rate of insurance tax is **19% of the insurance payment excluding insurance tax**. #### Example The insurance payment: **€500** Insurance tax: **€95** The amount payable: **€595** The €95 is **not VAT**. It may therefore in particular not be treated as €95 of input VAT. ### Insurance for a trailer or other vehicles With insurance contributions for a trailer, van or other vehicle too, what matters is whether and to what extent that vehicle actually serves the letting activity. Where a trailer is used exclusively to transport tools and material to your let properties, for example, there can be a correspondingly close connection with the letting. The general deduction of income-related expenditure requires an economic connection with generating income. With partial private use an appropriate split is again necessary. ### Assignment in Immodio Select **Assignment → Owner** and then the owner to whose letting activity the vehicle costs are attributable. Where several owners or types of income benefit from the same vehicle, only the share of the costs appropriately attributable to the letting concerned is to be taken into account. ### Which documents should you keep? Keep in particular the insurance policy or contribution invoice, proof of payment and a clear identification of the insured vehicle. With mixed vehicle use, the total annual kilometres and the kilometres relating to the letting should also be documented. The contribution invoice should also show which amount is insurance tax. The Insurance Tax Act in principle requires the amount of tax and the rate of tax to be shown openly in the invoice or in the corresponding insurance documents.