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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 9,408

  • Progressive rates 14% - 42% on income between 9,408 and 57,050

  • 42% on income between 57,051 and 270,500

  • 45% on income of over 270,501

Corporate tax is set at 33.3%.

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

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