Which businesses pay the least?

There is no specific trade that is better than the other one under tax law. There’s only the trade.

But I fear that, and many others, there is simply a lack of time to explain certain basics.

But let’s try.

In a trade there are 3 important taxes that will be due.

• Value added tax
• Income tax
• Trade tax

Value added tax

Your revenue will be taxed at 19%. But you’ll pass it on idR directly to your customer. You should know them as VAT.

Income tax

All your incomes iSd of the EStG will be subject to the tax, other than the profit from your business.

Trade tax

It will be due from a commercial profit (winning) of 24,500€, before that the entire commercial tax is exempted (as an allowance of 24,500€). The trade tax does not charge the tax office (there are exceptions) but the municipality in which you live. The trade tax can be used to reduce income tax.

There are, of course, always and everywhere any tax exemptions, but you should be aware of what you want to do and make you a plan etc.