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5 years ago

Germany's richest evade billions in taxes, impacting national revenue.

VfS Annual Conference 2019 (Leipzig): 30 Years after the Fall of the Berlin Wall - Democracy and Market Economy
On income tax avoidance - the case of Germany revisited
Hannes Fauser

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Tax avoidance in Germany was studied using data from 2013. The study found that as income increases, tax avoidance also rises. The richest individuals avoided around 3.1% of their taxable income or 17.2% of taxes paid. At the household level, the highest income group avoided 2.1% of taxable income or 11.2% of taxes paid. Overall, the country lost at least EUR 12.4 billion, which is 5.0% of income tax revenues.