Short Answer
You are no longer required to mail your physical receipts alongside your annual return, but you must legally archive them for at least four years under statutory limitation periods. The financial authorities process your declaration based on trust initially but demand raw paper evidence during retroactive compliance audits.
What Most Expats Don't Realize
You declared significant professional expenses on your digital tax return and threw away the paper store receipts after your assessment notice arrived. You didn't know the state conducts random retro-active samplings and routinely selects accounts for formal verification a few years later. You received a verification letter demanding physical proof for a past computer purchase, and because you lacked the receipt, the auditor canceled the deduction and forced a 380 € repayment.
What To Do
- Digitize every corporate invoice and purchase receipt immediately using a dedicated mobile scanner application.
- Store your structured digital files inside a secure, chronological cloud folder backup.
- "Ich übersende copy-belege für die angeforderte Steuerprüfung." (I am transmitting copies of the receipts for the requested tax audit.) — upload your files through the secure ELSTER interface when an investigator demands proof.
The Truth
Germany is moving toward digital first, but the law still requires you to be a mini-archive. They trust you initially, but they verify with a vengeance if something looks suspicious.