Other Taxes Guide

Additional taxes that you can expect to pay while living and working in Berlin:

Mehrwertsteuer – the tax added to the price of goods and services. Known in the UK as VAT (Value Added Tax) and in the US as Sales Tax. The Mehrwertsteuer is already included in the posted prices at stores.

Solidaritaetszuschlag – Solidarity tax, originally introduced to help rebuild east Germany after the wall came down. This is 5.5% and is taken from your salary by your employer each pay cycle.

Kirchensteuer – Church tax. If you are a member of an organised religion, you will be taxed 8%-9% of your income. This tax is due annually. This is taken from your salary by your employer each pay cycle.

Rundfunkgebuehren – Broadcast Tax. If you have a TV, radio, computer, internet or mobile phone you have to pay for a license. Radio, computer internet and mobile is a total €5,76 per month (for one or more) and TV is €17.98 per month. You are expected to pay this monthly directly to the authorities either by Direct Debit or Bank Transfer. Bills will automatically commence once you have notified the residency office of your permanent address (for your Berlin residency permit). You will then be able to set up a direct debit or provide the bank with payment details to make manual monthly payments.

Fahrzeugsteuer – Automobile tax. This tax is to offset the emissions from your car. It will vary depending on your car rating. This is an annual payment that you make in addition to your annual automobile registration. Payments are made at your local Vehicle Registration Office (Kraftfahrzeugzulassungsstelle), you can find your nearest office at this website http://www.strassenverkehrsamt.de (in German Only