They've raised taxes 5x in 1 year??? That's insane!
With all this madness going on, the thing I would like to know is when governments are going to collapse. There are probably a lot of diverse metrics to keep track of.
You have a lot of experience with economics. Do you know if something like this exists, where you can check the status online?
If it doesn't, I'm very interested in all the metrics/factors you need to take into account for collapsing governments. Maybe I can build it.
It's almost impossible to find an up-to-date overview, so I asked Grok. Here you can find tax news: https://www.steuerzahler.de/steuernews/?L=0
Here’s an overview of the main tax types and tax rates in Germany, translated into English. Germany has a complex tax system with over 40 different taxes, categorized by revenue authority (federal, state, municipal), tax object (property, transaction, consumption), or collection method (direct/indirect). Tax rates vary depending on the type and can be fixed, proportional, or progressive. Below, I’ll list the most significant taxes and their rates as of March 2025 (based on data available up to that point). Note that rates and regulations may change—check the German Federal Ministry of Finance website or consult a tax advisor for the latest details.
Overview of Tax Types and Rates
1. Income Tax (Einkommensteuer - ESt)
Description: Tax on the income of natural persons (e.g., wages, salaries, capital gains).
Tax Rate: Progressive, based on taxable income (zvE):
Tax-Free Allowance: Up to €11,604 (2024, likely adjusted for 2025).
Entry Rate: 14% above the tax-free allowance.
Marginal Rate: Increases progressively to 42% from €66,761 zvE (2024).
Top Rate ("Rich Tax"): 45% from €277,826 zvE (2024).
Note: Includes payroll tax (Lohnsteuer) and capital gains tax as collection methods.
2. Value-Added Tax (Umsatzsteuer - USt) / Sales Tax
Description: Tax on the sale of goods and services, indirectly borne by consumers.
Tax Rate:
Standard: 19%.
Reduced: 7% (e.g., for food, books, cultural events).
Special Rule: Flat rates for agriculture/forestry (5.5% for forestry products, 10.7% for agricultural sales).
3. Trade Tax (Gewerbesteuer - GewSt)
Description: Municipal tax on the profits of businesses.
Tax Rate:
Base Rate: 3.5%.
Municipal Multiplier: Varies by municipality (200–500%), resulting in effective rates of 14–17%.
Exemption: €24,500 for sole proprietors and partnerships.
4. Corporate Income Tax (Körperschaftsteuer - KörpSt)
Description: Tax on the income of legal entities (e.g., GmbH, AG).
Tax Rate: Flat 15% on taxable income.
5. Payroll Tax (Lohnsteuer)
Description: Prepayment of income tax, deducted from wages.
Tax Rate: Matches the individual income tax rate (progressive, see above).
6. Capital Gains Tax / Withholding Tax (Kapitalertragsteuer)
Description: Tax on capital income (e.g., interest, dividends).
Tax Rate: 25% (plus 5.5% solidarity surcharge and, if applicable, church tax).
7. Solidarity Surcharge (Solidaritätszuschlag)
Description: Surcharge on income and corporate tax, originally to fund reunification.
Tax Rate: 5.5% of income or corporate tax; phased out for most taxpayers since 2021 (exemption threshold: ~€17,543 zvE for singles, 2024).
8. Church Tax (Kirchensteuer)
Description: Tax for members of recognized religious communities.
Tax Rate: 8% or 9% of income tax (varies by state, e.g., 8% in Bavaria, 9% in North Rhine-Westphalia).
9. Inheritance and Gift Tax (Erbschaft- und Schenkungsteuer)
Description: Tax on wealth transfers (inheritance or gifts).
Tax Rate: Progressive, based on relationship and value:
7–30% (Tax Class I: close relatives).
15–43% (Tax Class II: distant relatives).
30–50% (Tax Class III: unrelated parties).
Exemptions: e.g., €500,000 for spouses, €400,000 for children.
10. Real Estate Transfer Tax (Grunderwerbsteuer)
Description: Tax on the purchase of land or property.
Tax Rate: Varies by state, from 3.5% (Bavaria) to 6.5% (e.g., Schleswig-Holstein).
11. Property Tax (Grundsteuer)
Description: Tax on property ownership, reformed as of 2025.
Tax Rate:
Base Rate: Type A (agriculture) 0.6%, Type B (housing/business) 0.31–0.34%.
Municipal Multiplier: Varies (200–900%).
Effective rate often 0.5–1% of assessed value (adjusted to new valuation from 2025).
12. Vehicle Tax (Kraftfahrzeugsteuer - Kfz-Steuer)
Description: Tax on vehicle ownership.
Tax Rate: Depends on engine size, CO₂ emissions, and vehicle type (e.g., €9.50 per 100 cc for gasoline cars + CO₂ component).
13. Excise Taxes (Verbrauchsteuern)
Description: Taxes on the consumption of specific goods.
Examples and Rates:
Energy Tax: e.g., 65.45 cents/l for gasoline, 47.04 cents/l for diesel.
Tobacco Tax: e.g., 9.82 cents per 20 cigarettes + 25% of sales price.
Beer Tax: €0.787 per hectoliter per degree Plato.
Coffee Tax: €2.19/kg roasted coffee, €4.78/kg instant coffee.
Alcohol Tax: e.g., €13.03 per liter of pure alcohol.
14. Entertainment Tax (Vergnügungssteuer)
Description: Municipal tax on entertainment (e.g., slot machines, events).
Tax Rate: Varies by municipality, often 10–20% of ticket price.
15. Dog Tax (Hundesteuer)
Description: Municipal tax on dog ownership.
Tax Rate: Varies, typically €50–150 per dog/year.
16. Second Home Tax (Zweitwohnungssteuer)
Description: Municipal tax on second residences.
Tax Rate: Varies, often 10–20% of annual net cold rent.
17. Air Traffic Tax (Luftverkehrsteuer)
Description: Tax on flight tickets.
Tax Rate: €13.03–58.73, depending on distance (2024 rates).
18. CO₂ Tax (National Emissions Trading)
Description: Levy on CO₂ emissions (e.g., heating, fuels).
Tax Rate: €45 per ton of CO₂ (2025, scheduled to increase).
Other Lesser-Known Taxes
Fire Protection Tax: 19% of insurance premiums.
Sparkling Wine Tax: €1.36 per liter.
Lottery Tax: 20% of stakes.
Beverage Tax: On certain drinks, varies by municipality.
