HOW TO START A BUSINESS IN GERMANY: A COMPREHENSIVE GUIDE

How to Start a Business in Germany: A Comprehensive Guide

How to Start a Business in Germany: A Comprehensive Guide

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Applying for German VAT is essential for businesses meeting specific turnover or trade thresholds. The process begins with obtaining a tax identification number (Steuernummer) from the Finanzamt. Provide details about your business structure, location, and expected revenue.
Next, apply for a VAT identification number (Umsatzsteuer-Identifikationsnummer) through the Federal Central Tax Office (BZSt). This step is vital for invoicing clients and handling cross-border EU transactions.
Accurate record-keeping is key to complying with VAT obligations. Track all sales and purchases to calculate input and output VAT correctly. Additionally, ensure you charge VAT on invoices and include your VAT number.
If you’re operating as a non-EU business, appointing a local fiscal representative may be required. By following these steps, you can avoid compliance issues and focus on growing your business in Germany.

VAT reporting in Germany

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