Capital gains tax

Capital gains tax is a tax that applies to all income you receive from stock gains and/or dividends. It is a form of the final withholding tax and falls under the income tax.

Since 2009, the percentage of the capital gains tax has been uniformly regulated. You pay 25% on all income related to investment gains (Note: Crypto is omitted and is regulated separately. For example, speculative gains on cryptocurrencies are tax-free after one year).

In addition to the capital gains tax of 25%, depending on the place of residence and federal state, the solidarity contribution of 5.5%, and depending on the denomination and federal state, between 8% and 9% church tax is added. Both the solidarity tax and the church tax are due on the calculated amount of the capital gains tax.

With the tax allowancetax allowance, everyone can earn an annual profit from capital gains of 1,000€ without taxing it. For married couples, the tax allowance is €2,000.