Welcome to a new article explaining taxes in Germany in 2022. We will explain to you everything you need to know about taxes and tell you about the taxes that you must pay in Germany. Also, many people in Germany suffer from excessive taxes
German tax system
As we know that the German tax system is somewhat complicated because taxes are imposed by the federal government, state government and municipal government as well, so the tax administration from the Central Federal Tax Office is shared with more than 600 regional tax offices, so the tax is calculated and accurate for the distribution of revenue Taxation between federal, state, and municipal governments resulting mainly from income tax and consumption tax.
income taxes in germany
They are, of course, progressive taxes and are calculated according to the level of income. For someone who works in a company, the income tax will be deducted directly by the management of the company in which he works before receiving the salary, and this will appear in the salary statement report that he will receive, as the high-salaries will be subject to a high tax deduction as well.
Church tax in Germany
When you register for tax, you are asked to declare a religion. There are specific doctrines. If you are one of them, you must pay that tax
Social Security tax
These are not originally taxes, but are considered taxes in Germany, as they include health insurance, long-term care insurance for disability or old age, and unemployment insurance. The rate of this tax may reach 20% of your monthly salary or income, and all taxes are automatically deducted in Germany from your salary in Per month
Taxes in Germany if you are a private business owner
If you have a private business or you are a multi-professional, an annual tax declaration is required from you in which you determine the taxes you owe. If you are thinking of doing your own business in Germany, it is necessary to have a financial accountant to ensure that you pay taxes correctly, as tax evasion It is a crime in Germany. Any error may be interpreted as tax evasion. A tax or financial advisor is necessary to avoid these errors. Some mistakes may expose you to paying fines of more than 50,000 euros and you may face imprisonment.
Payroll tax rates
If your salary reaches 10,000 euros per year, you are completely exempt from income tax because this is the minimum for living in Germany. The annual salary ranged from 58,000 euros to 274,000 euros. A tax rate of 42% will have to be paid, and for anyone whose income is above that, the tax rate will be 45% per year.
TV tax in Germany
This tax is 17.5 euros
car tax in germany
And if the car is from the year it was made before 2009, its tax rate will increase according to its carbon dioxide emissions
dog tax in germany
This tax can reach 150 euros per year
Real estate transfer tax
This tax is achieved if you transfer a house or property from one owner to another, and it ranges between 3% to 7% of the property value.
Real estate tax in Germany
The value of this tax is 0.26%.
inheritance tax in germany
This tax is very high. You will pay a tax on any assets that come to you in the form of inheritance in amounts that may reach an average of 50%
tax breaks
You can claim many tax exemptions, such as expenses you spend searching for work, alimony payments for divorced people, childcare costs, charitable contributions, and tuition and fees.
All of us are looking for a solution to the tax problem in the United States, and some are looking for ways to reduce some tax rates imposed by the government, so we will first tell you what types of taxes in America and what solutions you should do, and we will explain to you clearly what are taxes in America in general What are the things related to tax and revenue?
Types of Taxes in the US for 2022
The first type is income tax
Income tax is a tax that you owe whether you work alone or whether you work for a company or a job, and it is a tax that you pay to the federal government and you also pay to the state government in which you are assessed or working, where there is a central government in America responsible for all the country There is a federal government, and taxes on income in the United States are progressive, meaning that if you receive income of $10,000, the tax rate will be different from who receives income of $20,000, and so on, since in the tax table in America the lowest category of Its income ranges from 0 to 9000 US dollars, so the tax rate on it is 10%, but if your monthly income is from the second category, i.e. income ranging between 9000 US dollars and 40000 US dollars, then the tax rate will be 12%, as for the highest tax rate is 37% no matter how high your income.
The second type is sales tax
And as we know that the sales tax is a tax on everything you buy in any state, but the sales tax varies from state to state, for example, in Virginia, the sales tax rate is 6%, but in the state of Tennessee, the sales tax is about 9%, and in the state Delaware has zero sales tax, meaning no sales tax is paid.
The third type is the excise tax
It is a type of tax imposed on certain goods such as smoke and the like, but these taxes are imposed on the factory that manufactures those goods and then carries them to the consumer.
The fourth type of tax is a payroll tax
It is a tax paid by everyone who works in America, as it is paid to the federal government, and the government pays these taxes to associations that provide aid and the like or financial aid.
The fifth type of tax is property tax
This tax is paid by whoever owns a house or a car, as these taxes differ from one state to another, and there are states also where these taxes do not exist.
The sixth type is the inheritance tax
This tax is paid, for example, if one of your parents dies and owns a house worth 20,000 US dollars. This tax is paid according to the state in which you reside or in which the house is located. Also, the percentage of this tax varies from state to state, but there are some lawyers who know the loopholes of this law and they can forgive this taxes.
The seventh type is the tax on gifts
This tax is paid if you give a gift to someone, as this tax is paid if the value of the gift presented is 14,000 US dollars or more and has a certain tax rate, and there are also ways you can avoid these taxes from them.
The eighth type is the travel tax
This tax is paid if you travel from one place to another
The ninth type is the luxury tax
It is a tax that you pay on certain matters related to luxury, for example, you pay the luxury tax if you buy a yacht or expensive jewelry or the like, and this tax has a certain percentage that varies from one commodity to another, as there is a certain percentage of tax for everything related to luxury.
The tenth type is investment or profit tax
This tax is often paid by those who carry out investment or commercial operations, for example, if you buy a house worth 200,000 US dollars and sell it for 500,000 US dollars, you pay a tax on this profit, and this amount is determined by the federal government according to the value of the house, its location and the percentage of profit.
The last type is value added tax
This tax has been abolished in America, but we will explain it to you and how it was. This tax is paid by a certain group of people, and it is a tax for factories, meaning that if that factory manufactures a mobile worth 100 US dollars, it will have to tax 10%, that is, it will be sold for 110 US dollars, but this tax is applied by countries Australia and Canada are no longer applied in the United States.
This and we have completed for you everything related to the types of taxes in the United States, and taxes have become an important thing that people are constantly looking for as it has great importance in the world of economy and in the life of living that some taxes may affect, but as we told you that there are some taxes that can be avoided or exempted from .