What is the corporate income tax rate in Germany?

Germany levies a flat 15% Körperschaftsteuer (corporate income tax) on taxable profit, plus a 5.5% solidarity surcharge (Solidaritätszuschlag) calculated on the CIT itself — effectively adding 0.825% to the total rate.

How is Gewerbesteuer (trade tax) calculated?

Gewerbesteuer = taxable profit × base rate (3.5%) × Hebesatz (municipality multiplier). The Hebesatz varies by city: the federal minimum is 200%, while major cities typically range from 400% to 500%.

Is Gewerbesteuer deductible for corporate income tax purposes?

No. Since the 2008 reform, Gewerbesteuer is no longer deductible when calculating the corporate income tax base. However, it reduces the profit available for distribution.

What is the minimum Hebesatz in Germany?

The statutory minimum Hebesatz is 200%, resulting in a minimum trade tax rate of 7% (3.5% × 2.0). Many small municipalities apply exactly 200%, while urban centers apply 380%–500%.

Does this calculator account for loss carryforwards or add-backs?

No — this tool assumes a clean taxable profit figure with no Hinzurechnungen (add-backs) or Kürzungen (deductions) already applied. Your tax advisor will apply those adjustments to arrive at the Gewerbeertrag.

What is the combined effective tax rate for a company in Berlin?

Berlin's Hebesatz is 410%, giving a trade tax of 14.35%. Combined with 15% CIT and 0.825% Soli, the effective total rate is approximately 30.2%.

Germany Corporate Tax Calculator

Name: Germany Corporate Tax Calculator
Availability: InStock
Author: Nham Vu

Enter your taxable profit and municipality trade tax rate to instantly compute the full German corporate tax burden.

Tax Inputs

Taxable Profit (€)

Profit before tax — after all allowable business deductions.

€

Municipality Hebesatz (%)

Trade tax multiplier set by your municipality. Common values: Berlin 410, Munich 490, Hamburg 470, Frankfurt 460, Cologne 475.

Quick city presets

Enter your profit and Hebesatz, then click Calculate.

Results show CIT, solidarity surcharge, and Gewerbesteuer.

Effective Total Tax Rate

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Total Tax Due

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Tax Breakdown

Component	Rate	Amount (€)

After-Tax Profit

Available for distribution or reinvestment

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This calculator provides a simplified estimate. It assumes no Hinzurechnungen (add-backs) or Kürzungen (deductions) under the Gewerbesteuergesetz, and no loss carryforwards. Consult a German tax advisor (Steuerberater) for precise figures.

Summary

Enter your taxable profit and municipality trade tax rate to instantly compute the full German corporate tax burden.

How it works

Enter your taxable profit (Gewinn vor Steuern) in euros.
Enter the municipality Hebesatz (multiplier) — Berlin is 410%, Munich 490%, Hamburg 470%.
Click Calculate to see CIT, solidarity surcharge, and Gewerbesteuer broken down.
The results table shows each tax amount and the combined effective rate.
Adjust inputs to compare different German cities or profit scenarios.

Use cases

Estimate annual German corporate tax liability for budget planning.
Compare effective tax rates across German municipalities before choosing a business location.
Prepare preliminary figures for tax advisors or finance teams.
Understand the impact of the solidarity surcharge on net profit.
Model tax scenarios for different profit levels (breakeven, growth, exit).
Calculate after-tax cash flow for German subsidiary earnings.

Frequently Asked Questions

Last updated: 2026-06-09 · Reviewed by Nham Vu