Taxation in Germany
July 23, 2020
Taxes rules for businesses and entrepreneurs in Germany Business owners and self-employed individuals who work in Germany are to be registered at tax offices in order […]
November 20, 2021
The most significant tax that all employees and business owners in Germany have to pay is the income tax. People should pay the income according to […]
May 3, 2022
Today, many Internet users in Germany are launching their websites. But " Is it necessary to register a business to run a private website in Germany? "
November 10, 2022
Germany is known as one of the top cryptocurrency-friendly countries in the world. Here at Wise Business Group, we explain its reason and everything you need to know about investing in cryptocurrencies in Germany.
March 3, 2023
When do you need a VAT number in Germany? Under which conditions should you get an EORI number for your business in Germany? What is the […]
May 12, 2023
How can hosts rent out their property on Airbnb in Germany? Are there any requirements to comply with? Should their property have specific characteristics? Should the hosts take particular legal action before renting their property on this platform? Here at Wise Business Group, we explain the Airbnb regulations in Germany in detail.
October 21, 2023
The German salary system is well-regulated to guarantee transparency, accuracy, and compliance with legal requirements. Employers are often responsible for accurately calculating and processing employee salaries according to German labor laws and contractual conditions.
Employees in Germany usually receive their salaries every month. The employers must provide their employees with detailed pay slips containing the various salary components, tax deductions, social security contributions, and other additional payments. They deduct some mandatory deductions such as income tax, social security contributions, health insurance contributions, and pension contributions directly from employees' salaries and pay them to the competent authorities.
January 6, 2024
An overview of the usual tax terms and the tax system in Germany
Tax terms are often difficult to understand. Since the German tax system is very complex, it becomes more difficult to understand these terms, especially for expats. Therefore, to avoid possible mistakes when paying taxes in Germany, you should familiarize yourself with some of the most common terms. The most important are:
• Tax Office: Finanzamt
• Gross salary: Brutto
• Net salary: Netto
• Salary certificate: Wohnbescheinigung
• Tax declaration: Steuererklärung
• Tax identification number: Steueridentificationsnummer
• Tax number: Steuernummer
• Tax rate: Steuersatz
If you are not thoroughly familiar with German tax terms and laws, we recommend seeking help from a tax advisor to fill out your tax return.
February 23, 2024
An overview of important tax tips for startups in Germany
As the founder of a startup in Germany, you should be fully familiar with the types of taxes that you will be required to pay after starting your business. For this purpose, it is better to get help from a tax advisor in Germany. Here, we briefly mention ten important tax tips for startups in Germany:
1. After registering your business in Germany, complete the tax registration questionnaire and submit it to the tax office. Then, apply for a tax number.
2. Estimate the profit from your business in the first year for the tax office.
3. Read German tax paragraphs and learn about tax saving tricks.
4. Reduce your tax burden by forecasting your business expenses.
5. If you start your business in Germany after a period of unemployment, you can use German tax laws to optimize your business tax.
6. Take advantage of tax benefits for founders in Germany.
7. In the first two years after registering your business in Germany, you must calculate your tax monthly for the pre-registration of the tax return and report it to the tax authorities.
8. According to the amount of profit, the legal form and the size of your business in Germany, use the correct method of determining the profit.
9. Pay attention to corporate performance tax.
10. You can reduce your business tax burden by registering a Gewerbe business in Germany.
