Living in Schmargendorf: quiet district with suburban flair

Schmargendorf is modest, middle-class and quiet. Families with children, working couples and entrepreneurs are particularly drawn here. The property prices are reasonable, the cityscape is characterised by the many local churches and monuments and the standard of living is high.

Welcome to Berlin: Capital of Germany

Berlin is considered an international fashion, art and culture metropolis. Moving to Berlin sounds appealing and offers quite a few new possibilities and opportunities. The capital of Germany is a breathtaking city in every respect. Whether shopping on Kurfürstendamm, sightseeing at the Brandenburg Gate or tracing history in Berlin’s many museums. Its historical value is also unsurpassable. Berlin really has it all!

Schmargendorf: Map & Location

Berlin-Schmargendorf is located in the district of Charlottenburg and borders on Grunewald, Wilmersdorf and Halensee.

Sights: Kreuzkirche, town hall and Messelpark

Schmargendorf may resemble an innocent suburb due to its cosy atmosphere, but it never gets boring here. While the multitude of historic churches invite you to take a walk in the footsteps of German history, the Messelpark in the south of the district delights with its well-kept green spaces and relaxed flair.

Find more sights that Schmargendorf has to offer here:

• Bridge Museum
• Museum of European Cultures
• City Hall Schmargendorf
• Church of the Cross
• Village church Schmargendorf
• Mosse Pen
• Messelpark

Prominent neighbours: Gisela Trowe, Willy Birgel & Walter Franck

Not only families with children, young professionals, students and investors appreciate suburban Schmargendorf. Prominent faces from the worlds of film, television, sports and music have also been drawn here for decades. Some of them lived here only briefly, others spent their last years in Schmargendorf. Among the most famous residents are actress Gisela Trowe, opera singer Brigitte Mira, and German actors Walter Franck and Willy Birgel.

Here are the most prominent residents of Schmargendorf:

• Gisela Trowe (actress)
• Lea Rosh (Journalist)
• Brigitte Mira (opera singer)
• Cornelia Froboess (actress)
• Willy Birgel (Actor)
• Walter Franck (actor)

Sightseeing: A tour of Schmargendorf

While the wide street in the center of the district invites you to stroll, the quiet corners on the outskirts inspire with their relaxed flair and unspoiled nature. Join us on our tour through the green Schmargendorf!

Exclusive villas on the Schmargendorfer Alleen

In the centre: coffee houses, boutiques & lots of shops

Real estate & prices per square metre in Schmargendorf

You want to buy a property in Schmargendorf? Prices for rental and owner-occupied properties have risen sharply in recent years. Whether a spacious apartment in an old building, an exclusive villa or a renovated bungalow – find out everything about the prices per square metre here.

Reading tip: Berlin – The most expensive streets

Purchase prices for house, apartment & land

Overall, the purchase prices for existing properties in Schmargendorf have risen by 12.6% in recent years. If you are interested in a condominium that is more than 3 years old, you can expect to pay around €3,636 per square metre. For newly built apartments with 4,493 euros per square meter.

Here’s an overview:

• Buy a house (New): 2.345 €/m²
• Buy apartment (existing): 3,636 €/m²
• Buy apartment (New): 4.493 €/m²

Rent real estate: New & old building in comparison

You are not sure whether you want to invest in real estate as a capital investment and therefore prefer to rent a house or an apartment? Here the prices per square metre differ not only by property type, but also by year of construction. Newly built apartments are much more expensive than existing apartments and houses.

You should expect these prices per square metre if you want to rent a property:

• Rent house (existing): 10,38 €/m²
• Rent house (New): 10,17 €/m²
• Rent apartment (stock): 12,97 €/m²
• Rent apartment (New): 17,28 €/m²

Real estate as an investment: rental yield

You want to invest in real estate, buy an apartment building and then rent it out lucratively? The gross rental yields in Schmargendorf are generally higher than the rental yields in other federal states. Therefore, not only apartment buildings are attractive as investment properties, but also individual existing apartments and newly built apartments.

Rental yields average 3.5

What’s more, an investment in Schmargendorf real estate is always worthwhile. Because residences in Berlin are in demand. So you can sell your existing property after successful renovation by craftsmen, architect & Co. lucratively. No matter what type of house or apartment it is, if you want to sell your property in Berlin, your chances are good to make a real profit.

Conclusion: Living in Schmargendorf

Living in Berlin varies from district to district. Schmargendorf, for example, inspires with its well-kept cityscape, quiet atmosphere and suburban flair. The wide street, which invites you to drink coffee and shop, the variety of cultural institutions and the high standard of living make Schmargendorf one of the most attractive places to live in Berlin. If you would like to buy a house or purchase an apartment here, you can look forward to a high rental yield and acceptable prices per square metre.

Berlin: Real estate in the capital

Capital, university city, historical stronghold and as an international location an attractive place to live for families, couples, singles and students. Accordingly, Berlin faces a continuously growing population due to immigration.

Berlin real estate market: Overview

Berlin offers everything from fashion, art, finance, start-ups, and the list goes on. There is hardly a person who would not find their passion in this city of 3.75 million. This is also evident in the sprawl of the city and the different districts. For this reason it is often described as’ many cities in one’. A walk through Berlin-Mitte is very different from Kreuzberg and Prenzlauer Berg is not often confused with Zehlendorf.

• Real Estate Berlin

Living in Berlin: Popular residential areas

We present the most beautiful districts of the German capital and tell you where you can buy the best, highest quality and most exclusive properties to set up your new home, or which districts are best suited to invest in a property as an investment. Here we present the most popular residential areas – from upscale Grunewald to charming Schmargendorf and quiet Dahlem to historic Charlottenburg. Back to overview: Living in Berlin.

• Grunewald
• Charlottenburg
• Zoo
• Dahlem
• Schmargendorf
• Prenzlauer Berg
• Kreuzberg
• Kurfürstendamm

Selling real estate in Berlin: house, apartment and land

As an international location, Berlin is an attractive place to live for people from all over the world. While the district of Wilmersdorf in Charlottenburg convinces with its well-kept green spaces, the residential areas of Prenzlauer Berg and Weißensee in Berlin-Pankow inspire with their unbeatable prices and central location. You want to sell your apartment, your apartment building or your property in the world metropolis Berlin? With our free guides and tips on the topics of real estate sales and property valuation, you are well prepared. Back to overview: Selling real estate in Berlin.

• Pankow
• Charlottenburg
• Wilmersdorf
• Friedrichshain-Kreuzberg
• Prenzlauer Berg
• Kreuzberg
• Wannsee
• Steglitz
• Schöneberg

Der Beitrag Living in Schmargendorf (Berlin): Buy and rent real estate – Square meter prices for house, apartment & Co. erschien zuerst auf ℄ Real Estates.

Living in the Speicherstadt: unique cityscape full of historic brick buildings

The Speicherstadt has become known as the largest warehouse ensemble in the world. The district, built at the end of the 19th century, inspires not only by the unique cityscape characterized by the many neo-Gothic brick buildings of past decades, but also by the local canals, which can be easily explored by boat. One thing is certain: only the best craftsmen and architects in Hamburg were at work here.

Hamburg: International Hanseatic City in the North

Hamburg is the only metropolis in Germany that offers a port feeling. Every day, thousands of containers reach the city via the port facilities. That is why so many people are drawn to Hamburg. Not only is there a flourishing Hanseatic economy, Hamburg is also home to major media houses, advertising agencies and, of course, a correspondingly large number of real estate agents. Above all, the Elbphilharmonie with its unique architecture stands for Hamburg.

Speicherstadt: Map & Location

To the north of HafenCity and south of Uhlenhorst and Winterhude lies the Speicherstadt. The area with its historic warehouse complex has been a listed building since 1991. The six fleets that run through the Speicherstadt include Kehrwiederfleet, Brooksfleet, St. Annenfleet, Holländischbrookfleet, Kleines Fleet and Wandrahmsfleet.

Places of interest: Miniatur Wunderland, Museums & Co.

As the largest warehouse ensemble in the world, the Speicherstadt has a lot to offer. Not only the old brick walls and massive oak piles contribute to the flair of the district, but also the beautiful moated castle, as well as the many historical museums. The Miniatur Wunderland, popular with young and old, also enjoys great popularity, as does the Hamburg Dungeon, which invites you to get spooky here. Also nearby: The Kontorhausviertel and the Chilehaus.

Here is an overview:

• Miniature Wonderland
• Hamburg Dungeon
• German Customs Museum
• International Maritime Museum
• Car museum prototype
• Coffee Roasters
• Water castle
• Traditional shipping

Sightseeing: A tour of the Speicherstadt

Hamburg’s Speicherstadt is unique. While the neo-Gothic brick architecture characterizes the cityscape, the different canals contribute to the unique character of the district. While boat trips invite you to explore the area by boat, you can take a relaxed stroll along the moated castle with a coffee in hand. Join us on our tour through the Speicherstadt and thus through the most expensive streets in Hamburg!

Stunning real estate: neo-Gothic brick architecture

Moated castle: Between Wandrahmsfleet and Holländischbrookfleet

Traditionsschiffahrten: On the way with the boat

Buying property in the Speicherstadt: Prices per square metre

Whether it’s a spacious semi-detached house, an exclusive loft or a renovated apartment in an old building – prices per square metre have been rising throughout Hamburg for years. This is also the case in the Speicherstadt. While you can expect average prices per square metre of around €6,000, properties in more upmarket areas such as the Speicherstadt, Harvestehude or the Elbe suburbs can easily cost up to €16,000 per square metre. And in the Speicherstadt? Record prices have even been reported here: Almost 150,000 euros have been paid for a square metre here in the past.

Record prices in the Speicherstadt: 150,000 euros per square metre

Conclusion: Living & Housing in the Speicherstadt

Living and living in Hamburg! Many dream of it, but some are deterred by the many relocation plans. The Speicherstadt is particularly attractive due to its unique flair, characterised by the many canals that run through the district, as well as the neo-Gothic brick buildings, which give the district its unique historical charm. The attractiveness of the residential area is also reflected in the prices per square metre. These have been rising very strongly for some time. Rightly so, in our opinion. Would you like to buy a property in the Speicherstadt? Then contact your trusted real estate agent.

Hamburg: Real estate in the Hanseatic City

Hamburg is the only metropolis in Germany that offers a port feeling. Every day, thousands of containers reach the city via the port facilities. That is why so many people are drawn to Hamburg. Not only is there a flourishing Hanseatic economy, Hamburg is also home to major media houses, advertising agencies and, of course, a correspondingly large number of real estate agents. Especially the Elbphilharmonie with its unique architecture stands for Hamburg.

Hamburg property market: Overview

Many apartments, lofts and penthouses offer unique views. Perfect for people who work a lot and therefore seek relaxation within their own four walls. Hamburg is not only the hub of the global economy, but with a high standard of living, impressive architecture, a diverse culture and a good geographical location, it also offers an attractive place to live for families, singles, couples or entrepreneurs and investors.

• Real Estate Hamburg

Living in Hamburg: Popular districts & residential areas

The Hanseatic city, Germany’s pearl in the north, is full of life and forms a centre for business and lifestyle. While the Elbe suburbs inspire with their proximity to the shore and the many villa districts, HafenCity and Speicherstadt enjoy great popularity due to their central location. Historic Harvestehude, culturally upscale Uhlenhorst and charming Winterhude are also among the most attractive places to live in the city. Find out all about the prices per square metre and properties in Hamburg’s most sought-after districts here. Read more here: Living in Hamburg.

• Elbe suburbs
• HafenCity
• Harvestehude
• Speicherstadt
• Uhlenhorst
• Winterhude

House, apartment and land for sale in Hamburg

While Othmarschen and Rotherbaum impress with their historic charm, the residential areas of Blankenese and Rissen delight with their views of the Elbe. And the modern Hafen City and progressive Harvestehude also enjoy great popularity. Do you want to sell your apartment, your apartment building or your own property here? With our free guides on selling real estate in Munich, you’ll be well prepared. Plus: everything you need to know about property valuation, estate agents & the process. Click here for the overview: Selling real estate in Hamburg.

• Blankenese
• Rissen
• Othmarschen
• Port City
• Harvestehude
• Rotherbaum

Der Beitrag Living in the Speicherstadt (Hamburg): Buy a house, apartment or plot of land – Viewing, square metre prices & Co. erschien zuerst auf ℄ Real Estates.

GmbH & Co KG – formation, financing, liability & Co

The limited partnership – in short: Kommandite or KG – is one of the so-called complete companies and, as a partnership, is subject to the German Commercial Code (HGB). The formation process for this legal form of company is quite uncomplicated, as it can be formed informally and requires a minimum of only two founding members. It can be formed by both natural persons and legal entities. A maximum number of permissible shareholders is not specified by law.

If all general partners of a KG consist of limited liability companies (GmbH), they form a so-called Gesellschaft mit beschränkter Haftung & Compagnie Kommanditgesellschaft – called GmbH & Co KG for short. Such a GmbH is sometimes also referred to as a general partner GmbH, but beware: the general partner GmbH is a corporation and part of the GmbH & Co KG, while the GmbH & Co KG by virtue of its legal form is always a partnership!

Other typical partnerships:

• Limited partnership (KG)
• General partnership (OHG)
• Limited Liability Company and Compagnie General Partnership(GmbH & Co OHG)

Foundation & Company Name

Two persons are required for the formation of a GmbH & Co KG: The GmbH as full partner – i.e. general partner – and a natural person as partial partner – called limited partner. If you are starting from scratch, you must first establish a limited liability company in preparation. To do this, you need the following in a nutshell: a natural person or legal entity as the founder of the company; a tax identification number (tax ID); the confirmation of registration from the trade office; the shareholders’ agreement aka articles of association together with notarial certification; 25,000 euros in share capital; and finally the entry in the commercial register.

You can find out how the process of setting up a GmbH works in detail here:

• Establishment of a limited liability company (GmbH)

You have successfuly founded your GmbH? The limited partner is ready to go? Then the next step is to set up a limited liability company (Gesellschaft mit beschränkter Haftung & Compagnie Kommanditgesellschaft). Since the GmbH & Co KG is a separate company, you again need a tax ID and must register the company with the trade office. The establishment of articles of association is also mandatory and of course your company needs a suitable company name including the company suffix “GmbH & Co KG”.

Management & power of representation

As a general partner, the GmbH basically has power of representation in the external relationship. However, since a GmbH is a legal entity, the management authority is entrusted to a natural person. This may be a shareholder of the general partner GmbH or the position may be assigned externally to a so-called third-party managing director. In this case, there is often talk of a third party board of directors or external board of directors.

Alternatively, limited partners may also act as managing directors, provided they are expressly appointed to this body. Since limited partners are generally excluded from management, their management authority in this case is, however, limited to the right of objection in the case of extraordinary transactions.

Profit distribution & loss sharing

With regard to the distribution of profits and the sharing of losses, either the statutory principles come into play or corresponding specifications have been anchored in the articles of association. Profits are generally distributed at 4 percent of the capital share plus additional profit “in reasonable proportion”. Losses are also shared appropriately.

It is possible to completely exclude the general partner GmbH from the distribution of profits by means of a declaration in the shareholders’ agreement, whereby higher profits can be distributed to the investors. Insofar as the GmbH has inherent management authority, it can be paid an appropriate remuneration to compensate for its role as managing director, whereby a managing director’s remuneration cannot be deducted in total as a business expense for tax purposes. However, the remuneration is paid irrespective of the profits generated and thereby has the effect, if applicable, that the entire company can save taxes.

General partner, partial partner & tax liability

Usually, the general partners of a limited partnership are liable without limitation and jointly and severally – i.e. with their business assets plus private assets. If, on the other hand, the general partner of a KG appears in the form of a limited liability company (GmbH), he is liable as a legal entity only to the extent of the GmbH’s capital contribution. Limited partners are liable – as in the case of a conventional KG – only to the extent of the mandatory sum that they paid in as a limited partner’s contribution when the GmbH & Co KG was founded.

Like all other legal forms of companies, the Gesellschaft mit beschränkter Haftung & Compagnie Kommanditgesellschaft is generally liable to pay taxes. First and foremost, they are subject to trade tax and – in the case of taxable turnover – turnover tax. A GmbH & Co KG is generally exempt from income tax and corporation tax… However, profit income is still subject to taxation: corporation tax is applied to the profit share of the general partner GmbH, whereas limited partners must pay income tax on their profit.

• Trade tax (GewSt)
• Value added tax (VAT)
• Income tax (ESt)
• Corporate income tax (KSt)

Tip. All taxes for companies in one list:

• Taxes in Germany

GmbH & Co KG – For whom is it worthwhile?

A significant advantage of a GmbH & Co KG is undoubtedly the limitation of liability to the business assets of the general partner GmbH. This means that founders do not directly risk the existence of their company if an investment turns out to be disadvantageous, and they can quickly increase their equity capital through the flexible and simple admission of new limited partners. They can confidently outsource the organisational effort and the management to an outside body or make deviating succession arrangements in order to maintain the GmbH & Co KG.

So who is the GmbH & Co KG suitable for? This legal form is worthwhile for start-ups who would like to set up their business as a partnership without having to forego the special liability restrictions of a GmbH. A GmbH & Co KG is also conceivable as an asset-managing company and for family businesses.

Alternatives to the GmbH & Co KG: Legal forms in Germany

Legal forms – What types of company are there? If you want to start your first company, then choosing the ideal legal form is one of the first steps in the process of setting up a company. Whether it’s a special real estate company or a start-up, I’ve summarized all the types of companies in Germany for you here.

• Legal forms: List

Company types in detail:

• Sole proprietorship
• Registered businessman / registered businesswoman (e. K.)
• Civil law partnership (GbR)
• General partnership (OHG)
• Limited partnership (KG)
• Entrepreneurial company (UG)
• GmbH: Limited liability company
• Real estate GmbH / Asset management GmbH
• Stock corporation (AG)
• Real estate stock corporation (REIT-AG)
• Societas Europaea (SE)
• Foundation / Family Foundation

Der Beitrag GmbH & Co KG – Foundation, Management, Liability & Co erschien zuerst auf ℄ Real Estates.

UG (limited liability company) – foundation, financing, liability & Co.

The UG was created in 2008 in the course of the Act to Modernise the Law on Private Limited Companies and Combat Abuses (MoMiG) and is thus one of the newer forms of corporations. With regard to the required start-up capital, the special character of an entrepreneurial company (haftungsbeschränkt) is reflected: The company can be founded with a cash contribution of as little as one euro, which is why this legal form variant is sometimes simply called a 1-euro GmbH.

By lowering the required share capital to a symbolic euro, the founding process has been considerably simplified for many start-ups: Instead of laboriously putting money aside and saving the 25,000 euros for the founding of a conventional GmbH, you can become self-employed as a corporation almost immediately. However, a UG (haftungsbeschränkt) is always founded with the prospect of later changing its legal form to a conventional GmbH. There are no time limits for this, but at some point an economically managed entrepreneurial company (haftungsbeschränkt) will inevitably become a limited liability company.

Other typical corporations:

• Limited liability company (GmbH)
• Stock corporation (AG)
• European Company (Societas Europaea, abbreviated to SE)
• Partnership limited by shares (KGaA)

Foundation & Company Name

You can found a UG (limited liability company) with just one person. This means that as a founder you also take on a managing position at the same time. To do this, you need a tax identification number – tax ID for short – from the tax office and must register your company with the trade office. In addition, you have to take care of the establishment of the partnership agreement aka articles of association and have it notarized. If you have a maximum of three founding members, you can also simply use a sample protocol, as it is available as an annex to the Law on Limited Liability Companies (GmbHG): In this way, you can complete the articles of association, appointment of managing directors and list of shareholders all in one!

In the next step you can register your company in the commercial register. Your company can consist of personal names, industry names, fantasy names or a mixture of these… It is important that the name contains either “Unternehmergesellschaft (haftungsbeschränkt)” or “UG (haftungsbeschränkt)” – in exactly one of these two variants: Brackets are a must and abbreviations are forbidden! Once you have reached the minimum share capital of 25,000 euros, you decide whether to change the name of your company to a GmbH or to continue it as a UG (haftungsbeschränkt).

Financing & profit distribution

Even if the contribution of only one euro may sound quite attractive at the beginning… Caution is required when determining the amount of the share capital for your company: If the capital is too low and the company’s specific needs cannot be met as a result, you can quickly slide into insolvency! Many UG founders therefore opt for a starting capital of around 500 to 1,000 euros. This way they can ensure that their entrepreneurial company (haftungsbeschränkt) does not go bankrupt after the first small purchases.

When founding a UG (limited liability company), you may only use cash contributions; contributions in kind are prohibited. If a share capital of more than 25,000 euros is set, you can no longer establish your company as an entrepreneurial company (haftungsbeschränkt) and will automatically be treated as a GmbH (limited liability company). Until your share capital reaches this limit, you are subject to the obligation to retain profits, which means that you are not allowed to distribute profits in full, and you must transfer 25 per cent of your profits to the statutory reserves.

Liability, accounting & taxes for UG shareholders

As an entrepreneurial company, you are limited by liability and – as with the GmbH – are usually liable for the amount of your capital contribution, i.e. at least one euro. As a UG shareholder, however, you are also subject to the obligation to file for insolvency: In the event of a breach of duty or other criminally relevant actions, you may also be held personally liable under certain circumstances.

The Unternehmergesellschaft (haftungsbeschränkt) is subject to the same taxes in Germany as its big sister, the Gesellschaft mit beschränkter Haftung. It is therefore subject to the obligation of double-entry bookkeeping – annual balance sheet plus profit and loss account – and, depending on the size of the company, may have to prepare regular management reports. Furthermore, it is fully burdened with corporation tax, trade tax and input tax or turnover tax as well as – with regard to the distribution of profits to shareholders – capital gains tax and other final withholding taxes. For all natural persons, income tax also applies as usual.

• Corporate income tax (KSt)
• Trade tax (GewSt)
• Value added tax (VAT)
• Income tax (ESt)
• Capital gains tax (KapESt)

Unternehmergesellschaft (haftungsbeschränkt) – For whom is it worthwhile?

A UG (limited liability company) is the perfect choice for solo founders who have few assets but still want to start their own business with limited liability. The mini-GmbH is particularly suitable for smaller companies in the service industry, as unlike the formation process of a GmbH, no large start-up capital is required for the company formation. Another major advantage is the limitation of liability, which protects the private assets of the UG shareholders.

So for whom is the formation of an entrepreneurial company (haftungsbeschränkt) worthwhile? The legal form always makes sense if the later change of form to a limited liability company is planned. In this way, the first profits can be made with the company at an early stage and business relationships can be established, even though the share capital of over 25,000 euros is not yet available. The UG (limited liability) forms a more favourable preliminary stage to the GmbH – the conversion from UG to GmbH itself is extremely simple, as it is basically only a change of name within the same legal form.

Comparison: Sole proprietorship, one-man GmbH, small AG or entrepreneurial company?

If you plan to set up your business on your own, you can choose between different legal forms of business: On the one hand, there is the classic sole proprietorship, in which you act as a freelancer or registered trader, or set up a small business. Alternatively, you can choose between the one-man limited liability company and the entrepreneurial company – often referred to as a “mini-GmbH” – or set up a small public limited company.

You can find out more about the different legal forms for solo founders here:

• One-man limited liability company – see GmbH
• Sole proprietorship (EU)
• Small public limited company – see AG

Sole proprietorship & one-person GmbH

Basically, there is not much difference between the two legal forms of a sole proprietorship and a single-member company, because in both cases you are the sole shareholder with sole power of management and sole power of representation. However, the decisive difference arises in the form of the liability issue: As a registered businessman (e. Kfm.) or registered businesswoman (e. Kff.) you are liable without limitation, directly and jointly and severally – as the sole shareholder of a one-person GmbH, on the other hand, you are liable exclusively for the business up to the amount of the capital contribution you have made.

Are you a sole proprietor yourself and no longer want to bear the enormous liability risk? Then you should think about converting your sole proprietorship into a one-person limited liability company. The change of form is easily accomplished, but can make a huge difference in case of losses! In order to avoid personal liability, as part of the registered traders (e. K.) you only need a notarial certificate confirming a value of at least 25,000 euros for your business and submit this to the commercial register together with the opening balance sheet. The sole proprietorship is practically brought into the GmbH as a contribution in kind.

Entrepreneurial company & small public limited company

Alternatively, you can consider setting up an entrepreneurial company (UG). Often referred to as a “small GmbH” or “mini-GmbH”, this legal form of company is a sub-form of the conventional limited liability company, but unlike the “normal” GmbH, it only requires a single euro as share capital. It is therefore particularly attractive for solo founders who do not have 25,500 euros in their bank account. Without the share capital of a GmbH, however, your image with the banks could be lower and your chances of getting a good loan could decrease.

The so-called “small AG” is primarily intended for individual shareholders who wish to keep their public limited company within a small group of people. Apart from the individual shareholder, who also equally assumes the role of the management board, only three other persons are required to be appointed as supervisory board members. However, the formation of a public limited company, regardless of its size, is very complex and more cost-intensive than the other common forms of corporate law. Therefore, a one-person limited liability company or an entrepreneurial company may be more suitable if you intend to found your company on your own. Alternatively, you might also consider setting up a sole proprietorship.

Alternatives to the UG: Legal forms in Germany

Legal forms – What types of company are there? If you want to start your first company, then choosing the ideal legal form is one of the first steps in the process of setting up a company. Whether it’s a special real estate company or a start-up, I’ve summarized all the types of companies in Germany for you here.

• Legal forms: List

Company types in detail:

• Sole proprietorship
• Registered businessman / registered businesswoman (e. K.)
• Civil law partnership (GbR)
• General partnership (OHG)
• Limited partnership (KG)
• GmbH: Limited liability company
• Real estate GmbH / Asset management GmbH
• Stock corporation (AG)
• Real estate stock corporation (REIT-AG)
• Societas Europaea (SE)
• Foundation / Family Foundation

Der Beitrag Unternehmergesellschaft / UG (haftungsbeschränkt) – Foundation, Financing, Liability & Co. erschien zuerst auf ℄ Real Estates.

Income tax (ESt) – tax for natural persons

Income tax – ESt for short – is usually levied on the income of natural persons, according to their ability to pay. Income is understood as the sum of all income earned within the meaning of the Income Tax Act (EStG) minus the sum of all deductions relevant under tax law – such as any allowances. Taxable individuals are divided into self-employed persons, who generally have to pay their income tax themselves, and employees, whose income tax is withheld by their employer in the form of wage tax and paid to the tax office on their behalf.

Other taxes for businesses:

• Corporate income tax (KSt)
• Capital gains tax (KapESt)
• Value added tax (VAT)
• Trade tax (GewSt)

If you want to learn more specifically about taxes for real estate companies, you can learn more here:

• Save taxes on real estate

Income tax in detail – collection, levy & tax liability

As a joint tax, this tax revenue is divided between the federal, state and local governments. The municipalities receive the rate applicable under federal law – currently 15 percent of wage tax and assessed income tax – while the remainder goes to the federal government and the states in equal shares. Overall, all natural persons are generally liable to income tax and must pay tax on their income derived from self-employed and non-self-employed activities. The basic principles of income tax law are as follows:

• Net principle
• Periodicity principle
• World Income Principle
• Principle of differentiated rates
• Ability-based taxation

Individuals resident in Germany are subject to unlimited tax liability; individuals resident abroad who earn income in Germany are subject to limited tax liability.

Allowance for low earners & Deductible business expenses

Natural persons with low income can use an allowance for themselves up to a current amount of 9,168 euros – this applies to both income from self-employment and income from non-self-employment. Entrepreneurs with income tax liability can also declare the following deductible business expenses in order to reduce their profits and, as a result, their taxable income:

• Rental costs
• Car costs
• Personnel costs
• Depreciation
• Deductible input tax
• Sales tax paid
• Purchases of goods & services
• Expenses for low-value assets

Which companies are subject to income tax?

Most natural persons are charged with income tax. Therefore, this type of tax is particularly relevant for sole proprietorships (EU) and BGB companies (GbR). In addition, general partnerships (OHG) and limited partnerships (KG) are usually subject to income tax. However, income tax may also be obligatory for a limited liability company (GmbH) or a stock corporation (AG), if applicable.

Partnerships such as the general partnership (OHG) or the limited partnership (KG) are generally not subject to corporation tax or income tax, but the natural persons and legal entities with partner status belonging to them are. The profit generated by the partnership is subject to uniform and separate determination and is allocated directly to the individual partners in accordance with their legal form: Legal entities must charge their profit shares to corporation tax, natural persons to income tax.

• Partnerships: Natural persons with profit shares

Overview of company law forms

You can find more information about the different legal forms under the following links. Starting with the sole proprietorship and the registered traders… to the various partnerships and corporations… to other companies such as the family foundation – all the essential aspects of formation, liability, tax burden and more explained simply and understandably! First of all, an overview of the individual legal forms of companies:

• Sole proprietorship (EU)
  • Freelancer
  • Small business
  • Registered traders (e. K.)
• Silent partnerships
• BGB companies / civil law partnership (GbR)
• Partnerships
  • Limited partnership (KG)
  • General partnership (OHG)
  • Limited Liability Company and Company Limited Partnership(GmbH & Co KG)
  • Limited Liability Company and Compagnie General Partnership(GmbH & Co OHG)
• Corporations
  • Stock corporation (AG)
    • AG & Co KGaA
  • Partnership limited by shares (KGaA)
  • Limited liability company (GmbH)
    • GmbH & Co KGaA
  • Entrepreneurial company / UG (limited liability)
  • European Company / Societas Europaea (SE)
    • SE & Co KGaA
• Other companies
  • Foundations / Family Foundations
  • Insurances
  • Partnerships
  • Registered associations (e. V.)
  • Registered cooperatives (e. G.)

Taxes in Germany: List

Corporation tax (KSt), income tax (ESt), capital gains tax (KapESt), turnover tax (USt), trade tax (GewSt) – who pays what? In this overview of the different types of taxes / tax forms in Germany, you will find relevant taxes for you as an individual and for your business, depending on which legal form you have chosen. Also, after the tax list: How does the tax cycle work around month-end closing, year-end closing and balance sheet? A little insight for those starting their first company. What taxes are there? Simple explanations, definitions, tax optimization, an insight into taxes.

• Taxes: List

Der Beitrag Income tax (ESt) simply explained: forms, basic table, wage tax & Co. erschien zuerst auf ℄ Real Estates.