The tax rate describes the amount and calculation of the tax amount depending on a tax base . The tax base can be specified as a physical-technical quantity (for example in kilograms or cubic meters) or as a monetary amount (for example in euros or dollars).
If the tax base is a monetary amount, a tax rate can be calculated from the tax amount by comparing the tax amount to the tax base:
The tax rate is the complete and unambiguous assignment of the tax base (B) and tax amount (S) using a tax amount function S = S (B). Depending on the development of the tax burden when a monetary assessment base changes, one speaks of:
- proportional tariffs : the percentage always remains the same.
- progressive tariffs : the percentage increases with increasing income.
- degressive tariffs : the percentage drops.
In the case of a tax base measured in units of measure, the tariff is always proportional, it is a quantity or value tax . If a tax rate provides for a fixed amount per tax unit, we are talking about a tax rate . If a tax rate provides for a percentage rate per tax unit, we are talking about the tax rate rate .
Progressive tariffs are not tax rate tariffs because they change based on income. Although specific tax rates can be calculated in individual cases, these are not constant with progressive tariffs, but vary with the level of income. Depending on whether you are looking at total income or just an increase in income, there are different tax rates:
- the average tax rate , which indicates how much all income is taxed
- the marginal tax rate , which indicates how much an additionally earned euro is taxed,
- the entry tax rate, which indicates the lowest marginal tax rate,
- and the top tax rate , which describes the highest possible marginal tax rate.
A tax rate is a tax rate with a fixed amount per tax unit
|Tax type||Taxation unit||Tax amount||annotation|
|Motor vehicle tax (KraftStG)||100 cc||€ 6.75||Emission class EURO 4|
|Coffee tax (Coffee Tax Act)||1 kg||€ 2.19||Roasted coffee|
|Energy tax (Paragraph 3 No. 4 EnergieStG)||1 MWh||€ 5.50||Natural gas for heating|
If a tax rate has a percentage, it is a tax rate .
|Tax type||Taxation unit||tax rate||annotation|
|Sales tax (Abs. 1 UStG)||1 €||19%||Normal tax rate|
|Sales tax (Abs. 2 UStG)||1 €||7%||Reduced tax rate (groceries, books)|
|Solidarity surcharge ((1) SolzG)||1 €||5.5%||based on income tax amount|