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Taxation in Germany

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Taxation in Germany

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Taxation in Germany

Taxation in Germany is not dissimilar to the structures in other western countries, such as the UK. You pay income tax throughout the year, deducted each time you receive a wage.

What follows is the current rate of tax (in Euros):

  • 0% on income up to 8,004

  • Progressive rates 15% - 42% on income between 8,005 and 52,881

  • 42% on income between 52,882 and 250,000

  • 45% on income of over 250,000

Corporate tax is set at 33.3%.

VAT / Sales Tax is 19.%. With a reduced rate of 7%

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