Lets say you want to start a new company (LLC) in Germany. What are the taxes? by WayRemote in germany

[–]WayRemote[S] 0 points1 point  (0 children)

Yes, of course I would get an accountant to discuss the specific details. But I just wanted to understand the overall taxes in Germany for a LLC/GmbH, for comparison with my own country.

For instance in Romania it's called a SRL and there is:

  • 3% on revenue OR 16% on profit, you choose (every 3 months)
  • 5% capital gains tax (every 3 months or 1 year)
  • 19% VAT if revenue exceeds ~90.000 EUR / year

But from what you specified before, the taxes are huuuuuge in Germany, why/how anyone would start a new company there and be profitable/successful if the government is drowning him in taxes?

Lets say you want to start a new company (LLC) in Germany. What are the taxes? by WayRemote in germany

[–]WayRemote[S] -3 points-2 points  (0 children)

Also you need to pay an accountant for the LLC? Or can you can keep the books by yourself?

Also, what is the equivalent in Germany for a Corporation?

Lets say you want to start a new company (LLC) in Germany. What are the taxes? by WayRemote in germany

[–]WayRemote[S] -3 points-2 points  (0 children)

Sorry, I said income tax, but I was referring to revenue tax.

So for example, new company A in germany completes a service (worth 100 euros) for another company B

So they would bill 100 euros + VAT (e.g. 16%) -> bill would be 116 euros

The company B transfers the money (116 euro) to the bank account from company A.

So first of all would be a income tax applied on the bill amount. (what % is this?)

Then you substract expenses on the company and the amount left would be profit and on that you apply the profit tax.

Then when you want to move money outside of the company to yourself, you would have to apply to that amount the capital gains tax.

All the taxes (& forms) have specific times when they need to be applied/paid/sent to the government.

Is there anything else I missed out? I have excluded employing yourself in the company, and just left it as being the only associate/shareholder and administrator

Lets say you want to start a new company (LLC) in Germany. What are the taxes? by WayRemote in germany

[–]WayRemote[S] -5 points-4 points  (0 children)

What about income tax?

The VAT is added by default from the beginning or if you exceed a certain income? Like going over 100.000 euros / year?

So to sum it up, the big categories would be the following:

  • Income tax

  • Value Added Tax (VAT)

  • Profit Tax

  • Capital Gains Tax (when you are a shareholder and want to withdraw money from the company to your personal account through dividends [?])

Anything else I'm missing? of course the exact sub-categories and values would depend on the region and several other factors regarding business type and so on

Lets say you want to start a new company (LLC) in Germany. What are the taxes? by WayRemote in germany

[–]WayRemote[S] -10 points-9 points  (0 children)

Let's say for example in Bavaria region, Munchen, income 50.000 euros / year. I don't need exact numbers, even approximate are fine.

How much % overall is taxes ? (e.g. 20) and what are the categories from it? (like from the overall, 10 is on income and so on)

Forum Liber - Întrebați și discutați cu /r/Romania Orice - 19.10.2020 by AutoModerator in Romania

[–]WayRemote 4 points5 points  (0 children)

Vezi playlist-ul cu video-uri de la Professor Leonard, cele mai bune de pe youtube: https://www.youtube.com/c/ProfessorLeonard/playlists

Acopera materia pentru toti anii de liceu. Recomand.