Steuerberatung und Wirtschaftsprüfung für den Mittelstand +49-69-25622760

Steuerberatung und Wirtschaftsprüfung für den Mittelstand +49-69-25622760

Important tax rates in Germany

Note: Taxes are subject to change. This information has been provided to the best of our knowledge – it is not legally binding. Status of the information: January 2021

Church tax in Bavaria and Baden-Württemberg 8%, otherwise 9% of income tax

TaxFromToRemarks
  • Income tax
  • 14%
  • 45%
  • Top tax rate is only reached at around € 250k with single assessment. Married couples can use the split rate, i.e. income is added together
  • Solidarity surcharge
  • 0%
  • 5,5%
  • from income tax (partial exemption from 2021)
  • Church tax
  • 8%
  • 9%
  • Withholding tax for capital income
  • 25%
  • 25%
  • Fixed tax rate. Does not apply to income tax
  • Corporate income tax
  • 15%
  • 15%
  • Applies to corporations
  • Capital gains tax
  • 0%
  • 25%
  • Generally 25%, according to DBA, mother-daughter guideline  possibly lower
  • Trade tax
  • 3,5%
  • 3,5%
  • This is to be multiplied by the assessment rate of the respective municipality
  • Trade tax rates
  • 200%
  • 900%
  • Miniumum 200%. The assessment rate in large cities is generally between 400% and 500%
  • Value added tax
  • 7%
  • 19%
  • a reduced tax rate applies to certain supplies and services
  • Real estate transfer tax
  • 3,5%
  • 6,5%
  • Applies to the transfer of real estate and companies with real estate assets
  • Inheritance tax
  • 0,0%
  • 50,0%
  • Depending on the tax class (degree of relationship) and the amount of the inheritance within 10 years
  • Property tax
  • none
  • none
  • currently suspended
  • Transaction tax/stock exchange turnover tax
  • none
  • none
  • Introduction under discussion. Not yet decided
  • Stamp duty
  • none
  • none
  • Does not exist in Germany

Good to know: a few words about tax rates in Germany

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