VAT Registration
Part of our German GmbH company formation service is to register your company for VAT.
Germany is an economic powerhouse, and running a GmbH (German Limited Liability Company) is an excellent way to command international respect. Studies have shown that German consumers are highly demanding, and so only the highest-quality products rise to the top. Brand loyalty is strong in Germany so it is an excellent option for companies whose strong point is brand awareness. When aiming for international business on a large scale, starting a company in Germany makes sense.
Registering a GmbH is no small matter in Germany. The minimum share capital is €25,000 and, unlike Limited Companies in many other countries, the status of GmbH commands respect amongst peers and purchasers. We will walk you through the steps to register this prestigious company-type in Germany when you choose this product.
To establish a German GmbH, it is necessary to know who the shareholders will be. GmbHs only need one shareholder. The initial contribution of €12,500 needs to be to hand. A notarized certification is then prepared. (We will arrange this for you at Start My Business.) The German Commercial Register then evaluates and approves the application. It also notifies the relevant authorities of the establishment of the new GmbH.
As you can see, it is a fairly complex and somewhat bureaucratic process. Getting the assistance of a team like Start My Business can simplify the procedure immensely so you can actually get going and start conducting business in this extremely stable economy.
Part of our German GmbH company formation service is to register your company for VAT.
We will arrange an introduction to an online bank account for you in only a matter of days.
We will provide you with a registered address in Frankfurt, Dusseldorf, Munich, Berlin or Cologne. This includes mail-forwarding.
As part of the registered address, you will also be given a Virtual Office to take care of day-to-day affairs for you.
Minimum share capital is €25,000, of which 50% in cash is required upfront. If the initial contribution of both cash and assets is far greater than €50,000, then at least 25% of the total initial capital needs to be paid upfront (but never less than €12,500).
A GmbH must have at least one shareholder.
Corporate taxes are charged at a flat rate of 15% plus a solidarity surcharge of 5.5%, resulting in an effective rate of 15.85%.
However, there is also trade tax levied by different municipalities which can bring the total tax burden on enterprises to about 30%.
Germany imposes a 25% withholding tax on dividend payments. If you are a resident of another country, tax treaties might reduce the withholding tax. Currently, the reduced WHT for UK residents receiving dividend payments from Germany is 15%.
Theoretically, yes. Practically, not really. Although Germany boasts a large contingent of English-speaking people, particularly in areas like Frankfurt and Munich, the de jure business language is German and most small to medium businesses will insist you or a representative from your company speaks German. All official communications are carried out in German.
Capital Gains Tax in Germany is charged at the same rate as Corporate Taxes.
See our step by step process once you purchase this item.
How it WorksWe provide everything you need to form a GmbH in Germany, including notary fees, VAT Registration and an online bank introduction.
Depending on the add-ons you choose, we will have your German company ready for you in 50 days.
Our team of company formation experts will advise you on anything and everything you need to properly incorporate your Germany-based company.
“The Start My Business team simplified all the bureaucracy involved in starting my German-based company. ”
“I was so grateful for the online bank account introduction. There was no need for me to visit the bank personally to open an account.”
“We wanted a registered address in Frankfurt in order to be able to deal confidently with international clients. Start My Business made it easy and affordable to get this.”
Simply add the product you need to your shopping cart and then check it out to start your German company formation process.
We will send you some simple questions for you to fill in so that we can properly set up your new GmbH in Germany.
Let us do the work to set up your German GmbH. This will include a really quick and easy identity check where you’ll need your ID or passport to hand.
Once your company has been formed, you can officially start doing business in Germany!