Germany vs Romania
Tax Rate Comparison
Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.
π° Personal Income Tax Calculator
Enter your income to see your estimated annual tax liability in each country β side by side.
π©πͺ Germany β Trade Tax (Gewerbesteuer) & Church Tax
Germany's 16 BundeslΓ€nder apply federal income tax rates uniformly β no state income tax variation. Municipalities levy Gewerbesteuer (trade tax) on business profits at ~7β17% effective. Church tax (Kirchensteuer) of 8β9% of income tax applies to registered members. The solidarity surcharge (Soli) now only applies to the top ~10% of earners.
π·π΄ Romania β Local & County Taxes
Romania's 41 counties (judeΕ£e) and Bucharest municipality do not set income tax β this is nationally set. Municipalities levy local taxes including property tax (impozit pe clΔdiri, impozit pe teren) and vehicle tax (impozit pe mijloace de transport). Bucharest has higher property tax coefficients than rural areas. A micro-enterprise tax regime (1% or 3% on turnover) applies to small companies instead of standard CIT. Romania has had the EU's lowest flat income tax rate at 10%.
Germany vs Romania: Key Tax Differences (2026)
π° Income Tax: π©πͺ Germany has a higher top income tax rate (14β45% vs 10%). π·π΄ Romania is more favourable for high earners.
π VAT/Sales Tax: Both countries have comparable consumption tax rates (7β19% vs 5β19%).
π’ Corporate Tax: π·π΄ Romania offers a lower corporate rate (16% vs 29%), which can influence business location decisions.
π Capital Gains: π·π΄ Romania taxes investment gains at a lower rate (10% vs 25%), benefiting investors.