We are about to roll out our employee recognition program globally. Our German HR professionals are questioning our plan to tax employees on the points they receive. They are stating we must gross up the points prior to taxing otherwise - "it will lead to the situation that the employee will get less than the regular income, and this is not possible according to German labor law and furthermore our works council will not agree to use the program". Would love any feedback to how others are handling the taxation of recognition points in Germany. Thanks in advance!
