Cross-border commuting

• EU rightsCommon rights across EU countries
• Your rights in:
• Austriadeen
• Belgiumdeenfrnl
• Bulgariabgen
• Cypruselen
• Czech Republiccsen
• Denmarkdaen
• Estoniaenet
• Finlandenfisv
• Franceenfr
• Germanydeen
• Greeceelen
• Hungaryenhu
• Iceland
• Ireland
• Italyenit
• Latviaenlv
• Liechtenstein
• Lithuaniaenlt
• Luxembourgdeenfr
• Maltaenmt
• Netherlandsennl
• Norway
• Polandenpl
• Portugalenpt
• Romaniaenro
• Slovakiaensk
• Sloveniaensl
• Spainenes
• Swedenensv
• Switzerlanddeenfrit
• United Kingdom

Which income will be taxed in Germany?

• Live in Germany (min. 6 months in a 2-year period)? You are considered "ordinarily resident" in Germany (gewöhnlicher Aufenthalt) and must pay tax on your worldwide income and property there.
• Lived in Germany for less than 6 months in a 2-year period? You are not considered tax resident, and pay tax only on income earned in Germany.
• Income from other EU countries? Check you never pay tax twice on the same income.

How much will you pay?

What's left of your gross income in Germany after deduction of taxes and social security contributions?

Online tax calculator - Germany Deutsch(in German)

Income tax rates for 2011 (declared in 2012 return)

Income tax is progressive — the more you earn, the higher your rate. For individuals, the 2011 tax rate varies between 14% and 45%.

If you are member of a religious community which collects church tax, the rate is 8% in Bavaria and Baden-Württemberg, 9% in other Länder.

There is also a solidarity levy (Solidaritätszuschlag), equivalent to 5.5% of your income tax.

Take into account any:

• tax allowances
• deductions you may be entitled to for certain types of expenditure.

When and how do you pay?

You must make quarterly advance payments (based on your return for the previous year) to offset your expected final tax liability.

Started a new business? You must calculate the amount of the advance payments yourself.

In either case, you must file a return by the end of May of the following year.

How to appeal / complain

Your tax office - Finanzamt Deutsch(in German) will provide information on your rights and obligations. Detailed advice can be obtained from tax consultants or solicitors, who can also represent you.

You may challenge any decision on taxation at the local tax office - Finanzamt Deutsch(in German), and subsequently, if need be, take your complaint to the tax tribunal (Finanzgericht). You have 1 month to challenge a decision.

Links

Tax laws — EU and individual countries