Tax allowance

As a general rule, you will be taxed at 25% (plus solidarity contribution and church tax, if applicable) if you earn income from stock gains and/or dividends.

The German government has granted us a tax break on capital gains, the so-called ‘Steuerfreibetrag’ (or ‘Steuerpauschbetrag’), where you don’t have to pay tax on gains of up to €801 for individuals (€1,602 for married couples and registered civil partnerships). It is therefore worth setting up an exemption amount directly with UnitPlus, for example, so that you can benefit from the tax relief.

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