Freelancer tax in Germany
Freelancers (Freiberufler) in Germany pay income tax on profit and usually charge VAT (Umsatzsteuer). Here are the 2025/26 headline figures.
The headline figures (2025/26)
- Progressive income tax: 0% up to the €12,348 basic allowance (Grundfreibetrag), then 14% rising to 42% at ~€69,879, and 45% above €277,826.
- VAT (Umsatzsteuer) is 19% standard (7% reduced). You can use the Kleinunternehmer rule if turnover was under €25,000 last year and stays under €100,000.
- True Freiberufler are generally exempt from trade tax (Gewerbesteuer).
Quick tax estimate
A general self-employed estimate — pick your region below. Your exact Germany figures are listed above.
A dedicated Germany calculator is on the way — this gives a general estimate. Use the accurate Germany rates above for your filing.
Estimates use latest published figures (US 2025 brackets & 15.3% SE tax, UK Self Assessment bands + Class 4 NI, Canada federal + CPP, Germany §32a 2026 income tax + est. social & 19% VAT, GCC VAT rates). Simplified estimate for planning only — not tax advice.
Germany freelancer tax — FAQ
How much tax do freelancers pay in Germany?
Income tax is progressive from 14% (above the €12,348 allowance) up to 45%. Most freelancers also charge 19% VAT unless they qualify for the small-business (Kleinunternehmer) exemption.
What is the Kleinunternehmer VAT threshold?
You can skip charging VAT if your net turnover was under €25,000 in the previous year and is not expected to exceed €100,000 this year — but you then cannot reclaim input VAT.
Figures are 2025/26 headline guidance for the self-employed, verified against official sources — not tax advice. Check current rules or an accountant for your situation.