The German Tax ID, also known as Steuernummer or Identifikationsnummer, is a key element of the tax system in Germany that every entrepreneur or employee should know. In this article, we explain everything you need to know about the German TIN.
German Tax ID, or Steuernummer. What is it and what is it used for?
The German tax identification number, also known as Steuernummer (or St.-Nr. for short), is a key element of the German tax system that every entrepreneur or employee should be familiar with. The tax identification number is a code assigned by the German tax office (Finanzamt). It is a 10- or 11-digit number in the format “12/345/67890”. This code contains information such as the location of the taxpayer’s tax office and the area in which it operates.
Since 2007, a tax identification number has been assigned to anyone who has filed a tax return with the Finanzamt at least once. In most cases, the Steuernummer is an individual number for each taxpayer, but if two people file as a married couple, they will receive the same tax identification number. This number is necessary when filing an annual income tax return, and if the taxpayer does not have it, it will be automatically assigned by the Finanzamt.
Tax ID of a German company – how to get it when doing business in Germany?
Obtaining a German tax ID identification number, or Steuernummer, is one of the key steps for those doing business in Germany. There are two main paths through which a taxpayer can find out his or her tax identification number. For those with an employment contract, the acquisition of the TIN is done through the employer.
The employer is obliged to report the person employed to the relevant authority, which then assigns the employee a tax identification number. On the other hand, self-employed persons or freelancers should apply for a IdNr number themselves.
If the business was opened at the end of the year or the office is reluctant to assign a TIN for a specific activity, the number will be assigned during the tax return. It is worth noting that a change of tax office also changes the German TIN, as there is a different designation in each federal state. If you do not have access to the relevant documents with your TIN number, you can apply to the Finanzamt for one, although this process can take up to eight weeks.
German TIN – how to check a company by Steuernummer?
The German tax identification number, known as the Steuernummer, is a key element of the tax system in Germany. Every company operating in the country receives a unique Steuernummer number, which is used to identify the company’s tax identity when dealing with the German tax authorities. This number is essential when filing tax returns, issuing invoices and in many other situations related to doing business in Germany.
The Steuernummer consists of a different number of digits, depending on the federal state in which the company is registered. It can take the format 12/123/12345 or 123/123/12345, where the individual segments stand for the federal state code, the tax office district and the company’s individual tax identification number. In the case of married couples carrying out joint business activities, a single joint Steuernummer number is assigned.
To check a company by its German Steuernummer number, you can use various tools available online. One of them is the international EU VAT search engine, available at: http://ec.europa.eu/taxation_customs/vies/?locale=pl. It allows you to ascertain whether an entity has a valid EU VAT number, which is particularly important for intra-Community transactions.
Steuernummer and German VAT number – differences
There are two key identification numbers in the German tax system: Steuernummer and the EU VAT number, also known as USt-IdNr. Although both numbers are used for tax identification, they have different uses and are assigned in different situations.
The Steuernummer is a tax identification number that is automatically assigned to companies when they register in Germany. It is the number that companies must quote in their dealings with the tax authorities, on invoices and in other business-related documents.
The EU VAT number, or USt-IdNr, on the other hand, is a special identification number for companies making transactions within the European Union. It is a 9-digit number in the format ‘DE123456789’, which is required for companies making intra-Community transactions. In practice, this means that if a company from Germany sells goods or services to a company from another EU country, it must use the EU VAT number rather than the standard Steuernummer number.
The main difference between the two numbers is that the Steuernummer is mandatory for any company operating in Germany, while the EU VAT number is only required for companies carrying out intra-Community transactions. Furthermore, in the case of an EU VAT number, companies must remember to add the prefix ‘DE’ before the number, which indicates that the company is from Germany.
To summarise: understanding the meaning and function of the German TIN is crucial for anyone doing business or working in Germany. With this number, we can be sure that our tax obligations are correctly accounted for and that we are fully compliant with German tax law. Remember that having and correctly using a TIN is not only a duty, but also a guarantee that our tax affairs are in good hands. Do you want to receive a tax refund from Germany? Don’t forget all the formalities, such as just obtaining a German TIN.
