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Trade Tax Calculator

Calculate the trade tax for your business. With assessment rate, exemption and credit against income tax.

Updated 2025 Data stays local

Typical: 200% - 900%. Average approx. 400%.

Trade tax

10.570,00 €

Effective burden

0,00 €

Detailed calculation

Business profit100.000,00 €
Tax allowance- 24.500,00 €
Trade income75.500,00 €
Tax assessment (3.5%)2.642,50 €
x Assessment rate (400%)10.570,00 €
Income tax credit (max. 4x assessment)- 10.570,00 €
Effective trade tax0,00 €

Effective trade tax rate

Based on profit

0,00%

Allowance of {amount} applies only to sole proprietorships and partnerships. The income tax credit under §35 EStG is max. 4 times the tax assessment. Without guarantee.

Note: These calculations are for informational purposes only and do not replace professional tax or financial advice. All information without guarantee.

Frequently Asked Questions

How is trade tax calculated?

Trade tax is calculated by multiplying the trade income by the base rate of 3.5% and then by the municipality's levy rate. Sole proprietors receive a tax-free allowance of 24,500 euros.

Who has to pay trade tax?

All commercial businesses are subject to trade tax. Freelancers (Freiberufler) and agricultural businesses are exempt. Sole proprietors benefit from a 24,500 euro allowance.

What is the Trade Tax Calculator?

The trade tax calculator computes the trade tax for businesses based on trade income and the municipal multiplier.

How does the Trade Tax Calculator work?

From the profit, add-backs and deductions are applied. The tax measurement figure of 3.5% is applied to trade income and the result is multiplied by the municipal rate. Sole traders and partnerships receive an allowance.

Key Data and Facts

Tax measurement figure: 3.5%. Allowance for sole traders/partnerships: 24,500 euros. Minimum multiplier: 200%. Average multiplier in Germany: approx. 435%.

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