Non-residents are taxed on German-source income only (e.g., employment physically exercised in Germany, German rental income, business PE, certain German dividends/interest). Treaty rules can override domestic sourcing.

Progressive scale from 0% to the top marginal rate (plus solidarity surcharge and, if applicable, church tax). See our rates page for current brackets and examples; effective rates depend on filing status and allowances.

The solidarity surcharge (SolZ) may apply above certain thresholds; church tax applies if you are registered as a member of a qualifying religious community in Germany. Non-residents typically pay SolZ on German tax, but not church tax unless registered.

You must file if you have German-source income not fully withheld at source (e.g., rentals, self-employment, PE) or if assessment is required. Employment income can be final via wage withholding, but filing may reduce tax via deductions/allowances.

Treaties allocate taxing rights and provide relief (exemption or credit). Check residency tie-breaker rules, permanent establishment tests, and 183-day employment articles. Claim treaty relief in both countries as required.

Standard allowances may be limited for non-residents. In some cases, opting for quasi-resident treatment is possible if most income is German-source; this can unlock broader deductions. Assess eligibility before filing.

Standard deadlines apply in the year following the tax year, with extensions if a tax advisor files. Interest/late-filing penalties may accrue after statutory dates—plan ahead if you need certificates or refunds.

Depending on treaty method, foreign income is exempt with progression or creditable against German tax. Keep certificates of withholding and residency; align currency conversion and documentation with German requirements.

No. The 183-day rule has strict treaty conditions (employer residence, PE, who bears the cost). Short assignments can still be taxable if any condition fails. Always check the full treaty article, not just the day count.

Use the calculator linked in this guide for 2025 brackets and typical deductions. For complex cases (dual residency, equity compensation, remote work), request a tailored estimate from our team.