Tax Categories in Germany

There are 6 tax so called classes with different lump sums according to the circumstances.

Category I
Those single or separated, but not falling into either category II or III.

Category II
Single and separated, with a child, entitling them to a child’s allowance

Category III
Married employee. Tax rate is based on the married couple tariff (tax is calculated from half of the taxable income and then doubled)

Category IV
Married employees if both of them receive wage.

Category V
Same as IV. But one of the married employees stays with a tax card of category III (favour see above), the other one needs then category V. See ‘Married couple, both get wage’.

Category VI
Employees who receive a wage from other employments too, need a second (or more) tax card(s) of category VI.

You can use “German Tax Calculator” for your Tax Information/Details.

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