Flat tax & allowance
In Germany, capital income is not added to your other income but taxed at its own fixed rate: the Abgeltungsteuer (flat tax) of 25 % (§ 32d Abs. 1 EStG). capi.tax shows you the taxable base — the tax itself is assessed by the tax office.
What adds up
On top of the 25 % come the solidarity surcharge (5.5 % of the tax) and, if you are liable for it, church tax (8 % or 9 %). All in:
- without church tax: about 26.4 %
- with church tax: about 27.8–28.0 %
One detail: the solidarity-surcharge exemption threshold that removes the surcharge for much other income does not apply to the flat tax — the full 5.5 % remains here.
Your allowance
The Sparer-Pauschbetrag frees your first euros of capital income: €1,000 filing alone, €2,000 jointly assessed (§ 20 Abs. 9 EStG). It applies once across all your accounts. Actual costs — custody fees, for instance — cannot be deducted on top; they are covered by the allowance. A US broker cannot apply an exemption order, so you claim the allowance through the tax return.
When your personal rate is lower
If your personal income-tax rate is below 25 %, you can apply for the Günstigerprüfung (§ 32d Abs. 6 EStG). The tax office then automatically uses whichever rate is better for you — there is no downside to requesting it. It mainly helps when your total income is low.
capi.tax prepares your data and is not tax advice. Please review the figures and ask a tax advisor (Steuerberater) about your personal situation.