Corporation tax

The corporation tax (KSt) is an income tax. Addressees are legal persons with their registered office or management in Germany. The tax base is the taxable income. The determination of profits, accounting (balance sheet) and valuation are based on the provisions of the EStG (§ 8 I KStG). In addition, corporate tax modifications must be observed, e.g. B. non-deductible expenses (§ 10 KStG).
Hidden profit distributions do not reduce income. Special regulations are provided for national groups (tax groups; group tax law), insurance companies, cooperatives and building societies. The corporation tax is charged according to a proportional tariff. The corporate income tax rates are of great importance in the international environment, profits in Germany are comparatively heavily burdened by the additional burdens of trade tax and solidarity surcharge.

In diesem Zusammenhang ist eine Vereinheitlichung des vormals gespaltenen KSt-Satzes (Crediting procedure) auf 25 vorgenommen worden (Halbeinkünfteverfahren) (Income and corporate tax reform 2001-2005). Einmalig im VZ 2003 wurde 26,5 % erhoben. (Reform der KSt). Eine weitere Absenkung auf 19 % steht in der aktuellen Diskussion.

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