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Germany — corporate tax, VAT, and dividend treatment

Germany corporate income tax (30%), VAT (19%), and dividend withholding (26.375%), with cross-country context.

Country notes

Federal Körperschaftsteuer is 15% with a 5.5% solidarity surcharge on top (combined 15.825%). Municipal Gewerbesteuer (trade tax) adds a base 3.5% multiplied by a municipality multiplier (Hebesatz), typically producing combined effective corporate tax of about 30% in Berlin, ~32% in Frankfurt, ~33% in Munich. The federal CIT rate is scheduled to decline progressively to 10% by 2032 under post-2025 reforms.

Key data

Corporate income tax30%
Standard VAT19%
Dividend withholding (default)26.375%
CurrencyEUR
EU memberYes

Cross-country context

Corporate income tax30%
Median across covered countries22
Lowest in the data set9 (United Arab Emirates)
Highest in the data set30 (Germany)
Rank within the data set#13 of 13

Try the calculator with Germany pre-selected

Country tax rate
26.5%
Profit before tax
CA$100,000.00
Estimated corporate tax
CA$26,500.00
Estimated after-tax profit
CA$73,500.00

Methodology

Applies the headline corporate income tax rate from the country profile to the entered profit before tax. Reduced rates, SME thresholds, surtaxes, dividend layers, and jurisdiction-specific deductions are not modelled. Result is an estimate for orientation, not tax advice.

These calculations are informational estimates based on headline rates and transparent assumptions — not tax, accounting, or legal advice. Verify with a qualified local advisor before relying on the results.

Sources

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