Living in Düsseldorf’s old town

Düsseldorf Altstadt is ideally located in Düsseldorf, directly on the Rhine and close to the city centre. In addition to numerous historic buildings and sights, the popular district also has a diverse range of restaurants, cafés and shopping opportunities to offer, so everything is combined for the perfect property location.

Welcome to Düsseldorf: Metropolis in NRW

The capital of NRW is located in the heart of NRW between the Ruhr area and the city of Cologne. The Rhine flows through the middle of the city.

Old Town: Map & Location

The lively district not only boasts excellent transport links, but is also home to Düsseldorf attractions such as the Schlossturm and the K20, the largest art collection in North Rhine-Westphalia. The city’s penchant for the visual arts is further evidenced by the Kunstakademie, which is located in the city center. Also in the old town is the famous Königsallee – one of the most famous shopping streets in Europe and one of the most attractive and expensive streets in Düsseldorf.

Sights, Monuments & Co.

Düsseldorf’s old town has a lot to offer in terms of leisure activities and sights. Here you can keep yourself busy every day and admire the numerous buildings and monuments of Düsseldorf’s old town. In addition to many restaurants, cafés and boutiques directly on the Rhine, you will also find the City Hall, the Schlossturm, the Kunsthalle Düsseldorf and the Old Port. The architecture of Düsseldorf is also breathtaking and inspires not only tourists, but also the Düsseldorfers themselves.

• City Hall
• Old port
• Düsseldorf Art Gallery
• Castle Tower
• K20, Art Collection North Rhine-Westphalia
• Castle Square

Sightseeing: A tour of the old town

The historic residential buildings enchant tourists, newcomers and long-established residents again and again. During the day, Düsseldorf convinces with its diverse shopping opportunities. It is particularly luxurious on the famous Königsallee. There you will find all the luxury labels you could wish for, perfumeries with high-quality care products, as well as exclusive cafés and restaurants. As soon as evening falls, the city centre transforms into a noble nightlife district, where you will find bars and clubs to satisfy your need for a good cocktail and a successful evening with friends.

Take a look around the bright streets here:

Old harbour in the old town of Düsseldorf

Königsallee: boutiques, cafés and more

Old building apartments, lofts and co. in ideal locations

Real estate & prices per square metre in the old town

Renovated old building apartment, spacious penthouse or exclusive loft – everyone feels at home here! And this is also reflected in the real estate prices in Düsseldorf. Even if you don’t plan to go shopping, this part of Düsseldorf is just right for a relaxed shopping day. The very good location and proximity to cafés, restaurants, boutiques & Co. is also reflected in the prices per square metre. Due to the perfect location in the city centre and on the Rhine, you should expect these prices:

• Buy apartment (existing): 9.080€/ sqm
• Buy an apartment (new building): 10.919€/ sqm
• Buy a house (existing): 3.448€/ sqm
• Buy a house (new construction): 4.100€/ sqm

Conclusion: Living in the Old Town

Living in Düsseldorf – shopping, going out, sightseeing: all this is on offer in Düsseldorf’s old town. The city centre allows central living paired with quiet corners and one of the liveliest residential environments in Düsseldorf. You would like to buy a property here and invest in a real estate as a capital investment? Singles and couples in particular feel at home here. The proximity to the Rhine and the numerous green spaces also only make this area more attractive and promise a relaxed place in the middle of Düsseldorf’s city centre.

Düsseldorf: Real estate in the metropolis on the Rhine

Düsseldorf has a fascinating attraction. Although the Rhine metropolis Cologne is only a few minutes away, you can find the big luxury boutiques, international companies, advertising agencies and many other interesting industries here. The fashion industry in particular has made Düsseldorf a very international, stylish location. If you are looking for beautiful real estate here, maybe even luxury real estate, you will find it.

Real estate in Düsseldorf

Düsseldorf stands for luxury, shopping and an internationally positioned local economy. High-fashion companies have their headquarters here, but also the state government of NRW. The Düsseldorf real estate market is therefore highly sought after. The city is located in the heart of the state of North Rhine-Westphalia. The state capital is divided into several districts and is very popular with property buyers due to its charming location on the Rhine.

• Real estate Düsseldorf

Living in Düsseldorf: Popular districts & residential areas

With just under 640,000, Düsseldorf is one of the largest cities in the Rhineland and home to Germany’s third largest airport, after Munich and Frankfurt. With its authentic charm, the city attracts businesses from all over the world. This international audience not only demands places to go out and work, but is also always on the lookout for the right apartments. Whether it’s the Old Town, Oberkassel or Golzheim – everything about the city’s most popular residential areas and the most expensive streets in Düsseldorf, including tips on location, property prices in Düsseldorf & Co. To the overview: Living in Düsseldorf.

• Old Town
• Oberkassel
• Golzheim

House, apartment and land for sale in Düsseldorf

A wide range of shopping facilities, a large selection of restaurants and the modern infrastructure make Düsseldorf a sought-after city for property buyers in the long term. Would you like to sell your apartment, your property or your apartment building here? Whether historic Old Town, luxurious Pempelfort, exclusive Carlstadt, magnificent Oberkassel or sought-after Golzheim – with our guides to the sales process, property valuation and the most important documents, you are very well prepared for your property sale. To the overview: Selling real estate in Düsseldorf.

• Carlstadt
• Golzheim
• Pempelfort
• Oberkassel

Duties: What does a tax consultant

Before we go into the matter of tax advisors in detail here, on the special tasks, risks in the selection of tax advisors, as well as tips and the “daily” work with the tax advisor. First, a very general look at the core areas that tax firms cover. This includes accounting, financial accounting, all payroll accounting and payroll for employees, plus other tasks.

What does a tax accountant do simply explained?

7 typical tasks of tax consultants in companies:

1. Advice on tax preparation and structuring
2. Bookkeeping and financial accounting
3. Payroll accounting and payroll
4. Profit and Loss Account (EÜR)
5. Tax returns (much more on this later)
6. Audits of tax assessments
7. Representation vis-à-vis tax office and court

Compare tax accountants: The 3 biggest risks

Are you looking for a good tax consultant nearby? In fact, the choice of tax advisor has long-term effects, because the collaboration is very intense.

Intensive, regular cooperation

After you sign, you are bound to the tax office in financial and tax aspects, from levies to queries, almost every week. Likewise for the payrolls, the advance VAT returns and, of course, for questions about tax structuring. The cooperation is therefore intensive, especially with small companies, self-employed and companies in growth, where many tasks are still done by the management itself.

Accordingly, a change of tax firm is not possible overnight. Companies are very closely intertwined with their tax advisor, through regular and intensive cooperation.

Monthly cost load

Tax accountants do not work for free, accordingly, your business will incur monthly costs.

1. Management costs
2. Cost per employee
3. Additional costs for consulting, testing, etc.

So, the tax consultant costs, more about this later, consist of 3 parts. First, the monthly accounting, it is charged according to the official fee table (later under “Costs”). This means for you, the higher your turnover in the company is, the more may be charged by your tax consultant. In addition, there are costs for the payroll of your employees in the second step. Each employee is charged extra. In the third step comes all that is apart from accounting and employees: additional questions, audits, documents, even the annual financial statement, all this costs money and by time. The hourly rates of your tax advisor, but also of the employees, are also on the invoice at the end of the month.

Losing money due to insufficient advice: training and motivation

The training to become a tax consultant is done relatively quickly, a course with about 200 hours, in the full-time seminar 2 to 4 months. After that comes an exam. This means that many tax consultants learn standards, not tax design.

Many tax advisors are therefore rather tax auditors

You take over the account assignment, bill employees properly and carry out the annual financial statement correctly. The question: Is that enough? Depending on the company, goals and scaling, a tax consultant should possibly bring more.

Lack of advice involves 2 risk factors, on the one hand losses due to missed advice (tax tips, structuring options) and at the same time risks due to too much advice (cost-benefit factor). Because, as you have learned, every additional minute is billed. Suddenly the monthly costs are no longer 400 Euro, 500 Euro or 800 Euro, suddenly there are 4,200 Euro on the bill for the current month, due to the many consultations and work paths (procurement of documents by employees up to examinations and the consulting time itself).

Especially for companies at the beginning, this can be a cost trap if the tax firm is not absolutely reputable. Until owners and managers notice this mistake, as I said, we are talking about small companies, years can pass. Then the costs have already exploded.

Paying tax means losing profits

Did you know? For many companies:

Taxes are the largest cost factor in the company

Speaking of which, what is actually your biggest, monthly expense (once you’re in the 5/6 figures)? Rent? Staff? For the majority of businesses, taxes are actually the biggest cost factor, looking at business tax, capital gains tax, etc. Accordingly, the quality of the advice you get from your tax advisor makes a lot of difference.

The following calculation example is intended to show how costs add up, also through overpaid taxes and through follow-up costs, since the missing money cannot be reinvested to generate more money.

Calculation example: costs and lack of reinvestment

Already 200 euros of additional losses due to lack of advice become 2,400 euros a year. To the losses, by too much taxes, come the costs for the tax consultant (additional services for advice). Even at 1 hour per month, say at a rate of 120 euros, you are again at 1,440 euros. Monthly 320 euros that can not be reinvested, so bring further follow-up costs: You are missing money for investments at the beginning. Every euro that is missing cannot be doubled by wise investments.

Even if after 3, 4 years you realize that the work is not good, how will you check after the fact, which bill was justified, which were not? So do without it and just change the tax advisor.

Keep this in mind if you want to hire a tax professional.

Checklist of the 3 biggest risks

Summarizing 3 risks once again:

• Intensive, regular cooperation; commitment and time for change
• Amount of monthly and additional costs
• In the long term: lose money (pay too much tax, plus costs for tax advisor, lack of reinvestment) due to lack of quality/quantity advice

Remember for the future, tax planning is often in your hands!

Find a tax accountant: The 3 best tips

After the dangers of choosing a tax advisor, now straight to the tips on how to find a good tax advisor.

Advertisements in search results on Google & Co.

First of all, the most important tip: Do not click on the advertisement! You are on the Internet looking for a tax consultant in Berlin-Mitte, Cologne or Hamburg and do it like 92% of the people, you type in your request in one of the popular search engines.

The first places in search engines are always paid ads, disguised as search results. The only indication of this is the small word “Ad”, sometimes “Sponsored”. These ad spots are extremely popular! Why? Almost every click here. From my experience, go directly to page two of the search results, here you will find fewer ads for one thing and also not the companies or tax offices that spend a lot of money on marketing.

Because, who pays the money for the marketing budgets? You, the client of the tax advisor.

Ratings on online portals

Besides search engines, comparison portals, online magazines and other online sources for recommendations are also popular. Pay attention to qualitatively and quantitatively meaningful opinions. So compare the number of reviews, because only one rating is not meaningful, sometimes even bought.

• More than 5-10 reviews
• Ratings with meaningful content

Recommendations from experienced self-employed people

Should you know other entrepreneurs, trust their experience and opinions.

Importantly, these people should be entrepreneurs, not private individuals. After all, the matter, tax advisor for companies, is different than for private individuals and their wages or salaries. But also remember that the contact has been working with the tax advisor for some time, ideally the experience should be longer than three, four years. If you ask entrepreneur friends who have just started their own business and have only been with a tax firm for a few months, the experience may be too short term.

So tax advisor tips are best from contacts who have been running a successful business themselves for more than five or ten years.

These 3 little tips sound simple, but are very effective in finding a good tax accountant near you. Law firms that are reputable, don’t incur unnecessary costs (marketing) and do solid work. Let’s recap these 3 simple tips.

Checklist: Tax consultant in the vicinity, 3 tips

3 Tips from the field, find a tax advisor:

1. Do not click on the advertisement in the search results (go directly to page 2)
2. Rating on online portals (more than 5 opinions)
3. Experiences and recommendations from successful entrepreneurs

Now that you’ve learned a lot, about the risks and dangers of being tied to an accountant, as well as tips on how to find a good accountant, including online, let’s get back to the more specific tasks your accountant performs for your business.

Tasks: Tax structuring, tax returns, wages, balance sheet & co.

If you have found a good tax advisor, then from now on it is mainly about these issues:

• Advice on tax preparation and structuring
• Tax returns (monthly filings and annual evaluations)
• Wages and salaries for employees
• Annual accounts

Advice on tax preparation and structuring

If you want to run a restaurant in the future, a small business with two, three employees, then monthly financial statements, annual financial statements are the A&O for you. But if you want to grow as a company, then the tax structure, or tax avoidance is one of the most important factors in choosing the right tax advisor for your company.

Tax advisors need to know the basics, as well as new tax legislation and, above all, ways to avoid taxes.

We do not want to delve too deeply into the subject of tax avoidance at this point. After all, there are experts for that! But it is important to emphasize, as mentioned before, taxes are, for the majority of businesses, the biggest cost, every month, every year. It gets even better:

Every euro that is not spent on taxes can be reinvested by you and thus generates a further return for you.

However, in the process of growth there are also changes in the legal form of enterprises. Considering a possible sequence, this development of the company could include the following stages:

• Sole proprietorship
• Limited liability company
• Ltd
• Stock corporation (AG)
• Holding (with subsidiaries)

Thus, tax consultants also help with the change of the individual legal forms of companies. Tax structuring has so many facets, each of which takes effect individually, depending on the company and its activities. With the three practical tips (above) to find a tax consultant, you can find such tax firms in any city, even in your district.

In everyday life, however, the tasks of a tax advisor for companies do not lie in the provision of advice, but in the processing of tax matters.

Processing of tax matters

Now we come to the central core of the work of a tax advisor, simply put: accounting. The processing of tax matters is pretty much the regular standard task of any tax office. In doing so, law firms evaluate the current previous month. If all queries are clarified, the preliminary returns, the evaluations, wages and other information, following the preparation, are transmitted directly to the tax office.

So every month the tax returns come in. Depending on the company’s structure, these include the wage tax return, the capital gains tax return and, for the majority of companies, the standard advance return for turnover tax.

Then every year comes the preparation of the various tax returns, depending on the business model and construct. The typical standards of the annual financial statements include, for example, the income tax return, the corporate income tax return, as well as the business tax returns, which in turn bring you to the realization: Taxes are the biggest cost in business!

After that, the tax firm prepares the balance sheets. Balance sheets are the annual evaluations, they are not only transmitted to the tax office, but also to the Federal Gazette. Here the balance sheet of your company, insofar as you are not a sole proprietorship, GbR, or similar, is available for everyone to see.

Checklist: 6 Tasks Areas

Let’s summarize the processing of tax matters once again:

1. Payroll accounting
2. Tax returns / this includes wage tax return, capital gains tax return and advance return for turnover tax
3. Preparation of tax returns / this includes income tax returns, corporate tax returns, trade tax returns, annual VAT returns as well as inheritance tax returns and also gift tax returns for wealthy persons
4. Bookkeeping / this includes setting up the bookkeeping, creating a chart of accounts, bookkeeping itself, but also the account assignment of the documents
5. Preparation of financial statements / this includes the simple income statement, opening balance sheet, annual financial statements, interim financial statements, liquidation balance sheet and the corresponding explanatory reports
6. Applications

For the sake of completeness, tax advisors Hessen, of course, not only in the establishment of the company, but also in the liquidation, should something go wrong.

Assistance in insolvency matters

For the sake of completeness, here is a reference to the assistance in insolvency, which is also given by tax advisors. Companies fail, accordingly, it also needs people who take over the liquidation. Accordingly, the tasks of a tax advisor also include assistance in insolvency.

Read more on the topic here:

• Insolvency

Do I need to hire a tax advisor?

No, hiring a tax advisor is not mandatory, no matter what form of business you have chosen.

Cooperation with the tax consultant: Your tasks

You have now learned a lot about the tasks of a tax advisor, the various financial statements, monthly filing and annual balance sheets. But what does the cooperation with a tax advisor look like in practice?

Practical experience: For whom useful?

First of all, for whom are the following experiences useful? The following areas of collaboration apply more to sole traders, UGs (limited liability), GmbHs, under 10 employees. All businesses under 10 employees are considered small businesses. Then it starts with the SMEs (small and medium-sized enterprises), they have 10 to 250 employees. Here, of course, you are set up quite differently from a tax point of view than when you set up your business.

This area is explicitly not about tax structuring, but about daily cooperation with the law firm. From wages, their billing and calculation for health insurance, the monthly VAT advance return, business tax, as well as the annual financial statements, which will always come back to you. By the way, the annual accounts are not included in the additional costs, but are charged extra by the tax consultant, as described briefly above. But more about that in a moment.

If you own or are building a business that stays under 10, maybe 20 employees, these are the standard processes you will face when working with your tax professional. The following section should give you an overview!

Wages, registration, health insurance, etc.: Levy and appointment

The most important thing in any company is:

Good teamwork!

Only through good, i.e. motivated and trained employees, good results are guaranteed, this is true for 99% of companies. Even if the owners are “strange characters”, employees come first! Accordingly, wages, the registrations of the times with the tax advisor, as well as the calculation of the health insurance are a task, is always an interaction, from the information you give the tax advisor and what she or he makes of it.

What is your job?

You must ensure that wage data is available on time by the 15th of each month.

Not all employees in the company have a fixed number of hours. So now some may ask, how am I supposed to know exactly how many hours employee XY will work? If the hours are flexible, you will need to estimate the number of hours. In the following month, any absences will be compensated again.

Cost factor health insurance – A short excursus

But health insurance is also a big cost factor that is often overlooked by founders. Calculate with costs of 800 to 1500 euros per month per employee alone. Calculated over the year, this is a factor that is easily overlooked when extrapolating and calculating, because health insurance is not part of the salary paid, it is collected separately. 800 Euro in the month alone are a cost factor of 9,600 Euro calculated over the year. Anyone who founds a GmbH with 25,000 in start-up capital will quickly reach a critical point.

Here’s a little example:

• Salary (transfer): 1.500 €
• Health insurance: 700 €
• Settlement tax consultant: 15 €
• Total costs: 2.225 €
• Unconscious costs: + 32,6 %.

The gap between the €1,500 in thought and the €2,225 actually paid is a whopping €725, or +32.6%. So always remember that the cost of wages and salaries ultimately includes not only the actual payment to the employee, but also the health insurance and wage costs that have to be paid additionally for each individual employee.

This calculation error is multiplied with each individual employee. If, for example, you hire 5 employees through an investment or a loan, right at the start of the company, and do not take into account the costs for health insurance and payroll, you will have a monthly deficit of 3,575 euros in the calculation example. With a loan or investment of 50,000 euros, 5 employees are a huge cost. After a period of 6 months, the sudden, supposed loss (which you did not have in mind), amounts to 21,450 euros.

Finance is the number one reason businesses fail.

Therefore, it is important: you must take an interest in taxes and duties yourself.

Do not leave the work (only) to your tax advisor!

However, there are also potential savings for employees that should be communicated by the tax advisor. For example, if special services are provided for employees, such as the assumption of costs for train tickets that would otherwise be purchased by the employee himself for the way to work. Many aspects that need to be considered by a good tax office.

Important for you, is the submission of the wage data, punctually to the 15th of the current month. For employees who do not have fixed times, the expected working time must be estimated.

• Submission of wage data by the 15th of the month
• Submission of actual and estimated working times (depending on employee type)

Monthly taxes: sales tax, trade tax, etc.

Besides employee wages, however, there is a lot more for you and the tax preparer to take care of.

The regular tasks also include the monthly tax (pre-)registrations. Here, the focus is primarily on sales tax, as well as trade tax, if we are talking about regular companies such as a GmbH or an AG.

If there is one continuous factor that plays a role in your business life almost every day, it is accounting. Whether receipts from purchases, incoming invoices from suppliers, outgoing invoices for customers, all account activity is meticulously recorded, documented and archived in accounting.

Golden rule in accounting

For those who have not had any contact with the subject themselves, in quite simply explained:

Each posting a document

This is the classic golden rule in accounting. Means, every single transaction, whether with physical cash or digital transactions, must be justified by a receipt. Depending on whether it is an incoming payment, an outgoing payment, or even just a movement from account to account.

• Incoming invoices
• Outgoing invoices
• Account-to-Account
• Other such as interest

Today, much of the accounting is done through digital systems, accounting software. In the past, there were still classic folders, simply put, each month has a folder. Here the account statements are filed and behind each individual account sheet, the receipts are filed collectively. In this way, all transactions are transparently traceable, for example for one of the most important actors, the tax office. But also for yourself, a neat, orderly bookkeeping is very important, after all, you get only so key figures about your company.

Accounting in the past: folders, bank statements and invoices in chronological order.

In simply explained, that was already a lot of the bookkeeping that goes on in regular businesses.

The monthly accounts must be submitted to the tax office by the 10th of the following month at the latest.

Accordingly, you should plan your financial accounting so that they are ready directly at the turn of the month (1st, 2nd, 3rd). This way, your tax office has enough time to process them and you also have time to answer queries without time pressure.

Tip! If you are late with the accounting, communicate with the tax advisor or the tax office – communication is a very, very effective means in all tax matters.

As soon as there is sufficient turnover, trade tax also becomes an issue for you and your tax advisor. The trade tax is automatically calculated by the tax office. Small companies pay it at the end of the year, companies with the appropriate turnover and history pay monthly, so to speak in advance, so that at the end of the year there is no large tax bill for the company.

Once again summarized the most important tasks:

• Each posting a document
• Accounting almost 1 calendar month economically together
• Submission no later than the 10th of the following month (tax office)

Sales tax regulations: Domestic and foreign

Calculations at home are still easy to organize, as soon as it goes abroad, many have big question marks themselves. Honestly, from my experience, when I first faced the issue, my head exploded. All that came from the accountant was a 15 minute explanation. My simple question: when do I charge sales tax, when not?

Tip. From this question you can quickly see whether a tax advisor can explain facts easily or not. If someone starts to give you long monologues about the “EU joint business…” – do not hire him or her.

Here is the simple answer to the sales tax regulations for domestic and foreign invoices.

For transactions between companies (in Germany):

• Invoicing and invoice recipient in Germany: VAT
• If the invoice recipient is located abroad (EU Schengen area): no sales tax
• If the invoice recipient is located in a third country (outside the EU): no sales tax

There are a few special rules:

• Private customers (B2C) always pay sales tax ( value added tax for private individuals)
• Companies under the small business regulation are exempt from turnover tax

For the sake of completeness, here is a list of the European countries that currently (as of 2021/06) belong to the European Union, or more precisely the Schengen area.

• Schengen States: Austria, Belgium, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden and Switzerland.

Source: Federal Foreign Office, Article Schengen States

Annual taxes: annual accounts and example of VAT declaration

At the end of the year, depending on the legal form and company structure, financial statements are sent to the tax office. For almost all companies, this includes, for example, the sales tax return (except for small businesses that are exempt from sales tax [Ust.]). The sales tax return almost once again summarizes all tax transactions that are related to sales tax.

Tip for the monthly sales tax! Especially the sales tax is an important item that must be paid monthly, safely. With many bills there are margins, not with the tax office. Do not pay bills with it.

If the sales tax is not paid, the business account is seized. If you only have one business account at the beginning, you will quickly get into payment difficulties. Because, until the amount has not been cleared, you no longer have access to the account. Therefore, very important: the monthly accounting and the annual closing of the sales tax.

The VAT return is prepared by the tax office. In addition, the annual financial statement is obligatory for all companies.

The annual financial statement is also important. It summarizes everything once again, clearly. While you and your employees still have many tasks of your own in accounting, the annual financial statement is almost completely prepared by the tax advisor. You may only have to answer a few questions about individual transactions in advance. When the annual financial statement has been prepared by the tax consultant, you receive an evaluation and still have to sign it. The submission usually does not happen at the turn of the year, but is tax-efficient, on time, at the latest before the submission deadline.

For completeness: Small businesses and freelancers usually prepare a short EÜR (income surplus account).

Annual accounts: Content

You will then find the following information in the annual financial statements:

• Balance
• Profit and loss account
• Appendix
• Management Report
• Statement of changes in equity; segment reporting (only in connection with consolidated financial statements)

Deadline: Own production / tax consultant

When must the annual financial statements be submitted? The deadline for submitting the annual financial statements to the tax office is currently 31 July. If you are assisted by a tax advisor, the deadline is significantly longer, extended to 28 or 29 February of the following year.

• Own production: 31.07.
• Preparation by tax consultant: 28. or 29.02. (following year)

Costs: How much does a tax consultant cost?

How much does a tax consultant cost? This question can only be answered in part. Tax consultants charge according to the fee table, but they also have room for manoeuvre here. The fee table only covers standard services, i.e. monthly bookkeeping. Even the annual accounts cost extra. Every minute of consultation costs extra. Every time you get documents, records or figures, it costs extra.

For a first, rough overview, this simplified fee table will help you. It should make clear to you that tax advisors charge according to the turnover of the company. Of course, you also have a certain margin on this fee regulation, but the fee table is good for orientation.

Fee table

This is how much a tax consultant costs, with a turnover of 100,000 euros, for balance sheets, EÜR, income tax returns & Co.

Source: fivmagazine.de, tax consultant costs

Last but not least, we have a few typical questions and answers founders have if you haven’t had any experience with tax advisors.

Questions and answers: Tax consultant

Every year tens of thousands of businesses start. Restaurant, fashion boutique, media agency to app or online platform. They all have questions, even founders in real estate. Starting from: “Where do I find a good tax advisor?” to.

Where can I find a good tax advisor? Lists

As described above, there are mainly 3 tips that help to find a good and reputable tax advisor. You will usually get the very best recommendations from well-known business owners who have been in business for years themselves and have a good, commercial understanding. If they are happy with a tax accountant over a long period of time, then they are likely to be a recommendation for your business.

If you don’t have any direct contacts with contractors then you should start your search on the internet, again there are two good tips. One, don’t click on ads in the search results and two, read through reviews and make sure the company has not just 1, 2 or 3 reviews but ideally 10, 20 or even 30 depending on the size of the city.

Find a tax advisor! 3 tips summarized:

• Do not click on the advertisement in the search results (go directly to page 2)
• Rating on online portals (more than 5 opinions)
• Experiences and recommendations from successful entrepreneurs

Should you want direct recommendations now, read more here! Good tax advisor recommendations from Bavaria, over North Rhine-Westphalia to Berlin and Hamburg. With over 30 cities and all free of charge:

• Tax consultants in the vic inity (fivmagazine.de)

How much should a tax consultant cost? Comparison offers

We have already explained the most important aspects of tax advisor costs above.

If you do not yet have a tax advisor and are currently searching, you should proceed as with other service providers, get comparison quotes. This way you can estimate the costs and compare them with other tax consultants. For example, if you have found a few good adresses in their city through the 3 tips to find a tax advisor, get a quote from each of them. This will help you find the best consultant.

What does tax consultant mean in English?

In English, a tax consultant is referred to as a “tax consultant”.

What does it cost to file an income tax return with a tax advisor?

If you earn money, you have to pay income tax (minus the exemption amount). One of the first questions asked by founders: What does an income tax return cost with a tax advisor? As seen above in the table of fees, the tax return costs between 142 and 853 euros.

When is a tax consultant worthwhile?

This in turn leads us to the question: can I do my tax return myself? As learned above, hiring a tax advisor is not mandatory. Therefore, the question of when it is worth hiring a tax advisor cannot be answered in a general way. Simply put, if you have commercial knowledge and interest, you can do your tax return yourself. However, you run the risk of not taking advantage of tax benefits, for example in the case of tax allowances. It is therefore recommended at most for small businesses and sole proprietorships. For any business forms apart, whether GbR, UG, GmbH, you should work with a tax advisor. Finally, it also goes well verification of the data to the tax office.

Setting up a company, legal forms and taxes

Learn even more about taxes, legal forms and the first years of setting up a company here.

Form a company

Founding a company – You want to found your first company? Requirements for you as a founder, share capital, shareholder agreements, costs for the foundation, legal forms and checklists. This sounds complicated for beginners, but it is actually quite simple. The process of founding a company is usually relatively the same. I have summarized the foundation here once in simple steps, for you. Learn how to start your own business. After the great guide to all legal forms or types of companies, today a detailed look at the establishment of a (real estate) company for beginners.

• Form a company

Legal forms in Germany

Legal forms in Germany – What types of company are there? If you want to start your first company, then choosing the legal form is one of the first steps in the process of setting up a company. Whether it is a special real estate company or founding a startup, here I have summarized all types of companies in Germany for you. In this list of companies you will find explanations, advantages, disadvantages, costs, the process with checklists and requirements, for each type of company. In addition, especially for real estate owners, as an extra: real estate GmbH (asset managing GmbH) and family foundation with tax advantages. All legal forms in one list!

• Legal forms in Germany

Taxes in Germany

Taxes in Germany – Corporation Tax (KSt), Income Tax (ESt), Capital Gains Tax (KapESt), Value Added 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 company, depending on which legal form you have chosen. In addition, after the tax list: How does the tax cycle work around monthly financial statements, annual financial statements and balance sheets? A little insight for those who are starting their first company and are looking for a good nor a good tax advisor. What taxes are there? Simple explanations, definitions, an insight into taxes.

• Taxes in Germany

US taxes

USA – What taxes do you have to pay when you buy a house in USA? Below you will find a list of all the types of taxes you have to pay, how much they are, where you can read more about them and what they are used for. Everything you need to know about taxes related to buying a property, be it your home or a vacation home. We answer the questions, what are “transfer taxes”? How much is property tax when you buy a property? Here are the answers.

• US taxes

Brandenburg Gate, large zoo & Co.

Berlin is becoming increasingly popular and young people in particular are drawn to the German capital. With numerous housing estates, shopping streets, sights & monuments, Berlin is particularly diverse and therefore so sought after. Here are not only young students, families or couples at home, but also numerous large companies and businesses. More and more people are drawn to the megacity for private but especially for professional reasons, which is why the living space is very popular and above all limited. Who owns a property in Berlin, can consider himself lucky.

List: The most expensive places & streets

Before we take a closer look at the individual streets and squares in Berlin, you will now get an overview of the most expensive streets and squares in Berlin. The purchase price per square meter ranges between 9,100€ and 23,000€.

• At the circus, Werderscher Markt
• Breitscheidplatz
• Gendarmenmarkt
• Island Road
• Klopstockstraße
• Kurfürstendamm
• Paris Square
• Savignyplatz

Werderscher Markt

The Werderscher Markt is located in the district of Berlin Mitte and is ideally situated near the Kupfergraben and the Spree. At Werderscher Markt there are a variety of residential complexes with housing options as well as numerous offices. So if you want to live very centrally and in the middle of the city, you are sure to find the right condominium here. Or would you like to buy an apartment and rent it out? The area around the Werderscher Markt is also perfect for this. Rental apartments are always in demand here.

The price per square metre here is

Maximum price up to 15.000€/ sqm

Here in the Werde market you will find top adresses, such as:

• The Foreign Office
• Bear Well
• Arcotel John F. Berlin

Werderscher Markt in Berlin (map):

Make yourself a picture and explore the Werderscher Markt in a virtual way.

Breitscheidplatz

The Breitscheidplatz in Berlin can be found in the center of the capital and is located in the southwest of the large Tiergarten. In the near vicinity are numerous shops, shopping opportunities, restaurants and the famous KaDeWe. So, if you want to live in a very central location or invest in a property in such an area, you should definitely take a look at the properties in this place. You want to buy a property here, then you can find out more about luxury real estate agents Berlin.

Here you will find top adresses like:

• Kaiser Wilhelm Memorial Church
• KaDeWe
• Numerous shopping possibilities

Breitscheidplatz in Berlin (map):

Explore the beautiful place yourself and take a virtual look at the surroundings.

Gendarmenmarkt

Properties on the Gendarmenmarkt are particularly popular and sought after due to their location. The square is located in Berlin Mitte and is close to the large Tiergarten. Therefore, one lives here not only in the midst of a wide variety of shops but also close to nature and a large green area. The real estate prices here are at most 9,750 euros per square meter. For a three-room apartment with about 70 sqm you should expect a purchase price of up to 700,000 euros.

The price per square metre here is

Maximum price up to 9.750€/ sqm

Here you will find top adresses like:

• French Cathedral
• German Cathedral
• Hanns Eisler University of Music Berlin

Gendarmenmarkt in Berlin (map):

Island Road

The Inselstraße in Berlin-Mitte inspires with its exclusive location. The banks of the Spree River are within walking distance, the city’s most important monuments and sights are only a subway ride away, and for those who need a break from the colorful hustle and bustle of the city, the many green spaces and parks offer a relaxing change of scenery. Properties in this area are ideal as an investment and are priced, in this environment, at €23,000 per square metre.

The price per square metre here is

Maximum price up to 23.000€/ sqm

Here you will find top adresses like:

• Spree Canal
• Island Bridge

Inselstraße in Berlin (map):

You want to see the area? Here you will find, for example, the island bridge:

Klopstockstraße

The Klopstockstraße at the Berlin Tiergarten is ideally located and is particularly popular due to its proximity to the large Tiergarten. Anyone living here is centrally located and despite this has a large green area on their doorstep. Here one finds in particular multi-family houses and thus numerous living or investment possibilities. Property prices here are a maximum of €9,100 per square metre.

The price per square metre here is

Maximum price up to 9.100€/ sqm

Here you will find top adresses like:

• Zoo
• Near Lazy Lake

Klopstockstraße in Berlin (map):

Kurfürstendamm

Kurfürstdamm in Berlin Mitte is a particularly popular residential area and is ideally located in the heart of the city centre. On the famous main shopping street, in addition to numerous shopping opportunities, you can also find some interesting and beautiful properties in the popular district of Charlottenburg-Wilmersdorf. If you are looking for a property here, you should expect a maximum price of 9,800 euros per square metre. So if you’re looking for a nice three-bedroom apartment with about 90sqm, you should expect to pay just under €900,000. Find out more about living on Kurfürstendamm here.

The price per square metre here is

Maximum price up to 9.800€/ sqm

Here you will find top adresses like:

• Shopping options like Gucci, Louis Vuitton, Zara
• Hard Rock Cafe

Kurfürstendamm in Berlin (map):

Explore the area yourself and walk along the shopping street virtually.

Paris Square

The Pariser Platz in Berlin is located directly at the Brandenburg Gate and inspires especially by ideal location in Berlin Mitte. Who owns a property here definitely has an impressive view of the landmark of the German capital or to the large Tiergarten. Here you live in the middle of the city center and yet close to a very large and extensive green space. Properties in this location are very sought after and cost around 10,200 euros per square metre.

• Find out everything about living in Berlin here.

The price per square metre here is

Maximum price up to 10.200€/ sqm

Here you will find top adresses like:

• Brandenburg Gate
• Starbucks
• Madame Tussauds Berlin
• Memorial to the murdered Jews

Pariser Platz in Berlin (map):

Make yourself a picture and explore the Pariser Platz, the Brandenburg Gate and the big Tiergarten in a virtual way!

Savignyplatz

The Savignyplatz is located in Berlin Mitte in Charlottenburg, in the middle of nature and is surrounded by numerous small cafes. Here, in the west of Berlin, you can live ideally and invest in a property. Savignyplatz is an ideal location for living and leads to some lively streets. Here you can visit restaurants, boutiques or the park.

Here you will find top adresses like:

• Park with flowers and sculptures
• L’Osteria Berlin

Savignyplatz in Berlin (map):

Most expensive residential streets in Berlin

Sources: Image / Engel und Völkers / Lukinski

More about Berlin: Real estate

Buy, rent and sell real estate in Berlin – Berlin is not only in Germany the “place to be” when it comes to real estate, in all of Europe and worldwide Berlin is known. Next to London and Paris, Berlin is the hotspot in Europe for Europeans themselves, tourists and real estate investors.

Berlin real estate market: overview

Millions of tourists, plus almost 4 million inhabitants living in the city, renovated old apartments in Kreuzberg, chic condominiums in Berlin-Mitte, large and imposing villas in Berlin Grunewald and exclusive off market properties.

The Berlin real estate market is due to its different districts, its high fluctuation of people, the laws of the state government and also international investors, a real estate market in which you need time as a buyer and especially as an investor with portfolio.

Here you will find the big overview, on the subject of buying, selling, renting, capital investment and everything else you need to know about the Berlin real estate market.

• Real Estate Berlin

Sell real estate in Berlin

Sell property Berlin – Berlin is known as the capital, as a university city and as a historical stronghold. 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 Berlin.

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

Living in Berlin: Popular residential areas

Living in Berlin – We introduce you to the most beautiful neighborhoods 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 there as an investment. Here we present the most popular residential areas – from the upscale Grunewald to the charming Schmargendorf and the quiet Dahlem to the historic Charlottenburg.

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

Villa, property, new building & Co. – risk and mistakes

Important, this article refers to the sale of:

• Exclusive properties like villas
• Large properties such as new buildings
• Special projects such as land, forest land, agricultural land & Co.

If you “just” want to sell a condo or “just” a house, then read on here: the 15 most common real estate selling mistakes.

Everyone tells you about the typical mistakes, here are the additional real insights for selling real estate!

Preface: Mistakes are human and (!) avoidable

There are the typical mistakes that exist when selling apartments, houses and land. Mistakes that you will also find on all websites!

You may have come across lurid headlines like “Avoid these 7 mistakes” or even “10 mistakes you should avoid” and of course even better “the 11 biggest mistakes when selling real estate” when researching the sale of your property. These “typical” mistakes when selling real estate, you already know from the article “15 mistakes you should avoid”.

Errors are quite normal, because as mentioned in the introduction, only a little over 271,000 properties are sold per year, let’s look at the German real estate market. A significant proportion of these are also purely B2B (i.e. from company to company). So hardly any private sellers know about the risks.

Checklist: 15 mistakes summarized

These really typical mistakes are also quickly enumerated:

1. Too little time planned for sales – Little time? Already comes pressure
2. The wrong time to sell – Situation and economy
3. Inaccurate description of the property – Exposé is written unprofessionally
4. Unfavourable photos in the exposé – Just like exposé, hardly any demand
5. Wrong target audience and strategy – For example, student apartment in newspaper instead of social media.
6. Value of the property is incorrectly assessed – properties do not find buyers
7. Documents and proofs are missing – Documents are not available
8. Property is not prepared for viewings – Does not convince prospective buyers on site
9. Underestimated effort of the sales process – So many get under pressure, e.g. if the new property is already financed
10. Sale and negotiation are considered easy – preparation is then only half-hearted and leads to purchase price losses
11. Selling phase is designed alone – selling privately without estate agent and expertise
12. Prospects stall too long – Valuable time is lost, property is burned by long listing time
13. Proof of financing (buyer) – creditworthiness of buyer not checked
14. Defects in the purchase contract are overlooked – rights but also deadlines
15. Burn property – Large or exclusive properties in mass portals

For small objects that are in private sale, certainly always a nice, first overview. But as soon as it is no longer “only” about 100,000 euros, but perhaps even about 1 million, 3 million or even 10 million, there are completely different factors that are important.

Golden rule for real estate: exclusivity as a sales factor

Rule number one:

The most important thing, exclusivity in the sale, when it comes to objects > 1 million euros.

Why? You can find out here, in this article.

Real estate in comparison

Let’s first look at the different types of buyers and how they review and value properties. The word “ETW” stands for condominium. We look at 4 groups of buyers:

1. Group: ETW / house 80sqm ~ 200.000 rather indifferent; means also the buyer side is mostly inexperienced, it is less examined
2. Group: 150sqm ~ 900.000 / critical buyer
3. Group: 200sqm ~ 1.200.000 / researching buyers
4. Group: 250sqm and over 1.5 M / examining buyer
5. Group: large properties, new construction, agricultural land, etc. – special real estate / very experienced buyers, mostly with their own real estate office

Group 1-3, i.e. properties up to 200sqm, are mostly in the regular property market, in which “only” private individuals are interested. The typical marketing strategy here is: A lot, helps a lot. Often 2, 3 brokers are commissioned and the property is already in 4, 5 portals, newspapers, maybe even on social media networks.

Group 4 buys properties over 200 sqm, but still private. Who buys in this segment, is usually already experienced and knows, with building fabric, appraisers and so on. At the latest here it needs the help of a broker in negotiations.

Group 5 buys properties in the flow. 50 units (i.e. apartments) a quarter or even a month. Some investors buy 1,000 units directly, whether in A-location, B-location or even C-location. Properties in need of renovation, former hotels that are converted into condominiums or even forest land, agricultural land, old prefabricated buildings, etc.

Rule number 2, from group 5:

Time is (usually) more important than money

Group 4 and 5 need exclusive intermediaries, anonymous real estate sales, instead of “broad” mass and marketing, with direct line to investors, real estate funds and family offices.

Family offices (investors) and funds, rather than private individuals

If you want to achieve a high purchase price when selling real estate, you have to consider a few things, especially rule number 1: Exclusivity!

Real estate investors, family offices, any kind of “institution” check real estate offers and they prefer anonymity when buying and selling real estate. It is not only about exclusive villas, but especially about new construction, apartment buildings, neighborhoods, building plots and much more.

So to be separated are individual units like apartment, house, row house, duplex, etc. from:

1. Real estate with several units (terraced house, neighbourhood, street…)
2. Exclusive real estate of wealthy and or well-known persons

Such objects should not appear in public portals, because ideally, only 1 interested party should exist, who quickly and immediately becomes a buyer. For objects over 5 million euros (read our purchase profile here), time is the most valuable factor.

Buyers must have a solid financial background, capital proofs should not be a problem. Knowing these specific real estate investors, private individuals and investment groups is our job. Accordingly, over 99% of our properties never show up anywhere!

Thus, the placement does not take months, but sometimes only 7 to 10 days.

The big advantage of off market real estate and selling to private individuals, family offices and others:

• Anonymity of buyers and sellers
• Good purchase prices, through exclusive offers

Apartment house in A-location with development potential.

Real estate burn – 10 portals, 10 brokers, … Danger

Real estate agent and real estate portal have risks? Yes, exactly.

Too many advertisements – Error 1

The big danger is this, your property is in portal 1, portal 2, portal 3, so solid buyers will be wondering:

Why is this property listed in so many portals?

Why. Real estate buyers compare offers (see group 1-5 above). So as soon as duplicates show up, people start to get skeptical:

• Why does real estate need so much marketing?
• Are there any drawbacks to the property?
• Is the purchase price way too high?

If your offer now stands between thousands of others, the probability to find interested parties decreases, as well as with the typical mistakes when selling real estate.

Too many brokers – mistake 2

Accordingly comes the 2nd fatal mistake that drives many private sales down in price: Because the object was not sold quickly, a second broker is called in, perhaps even a third, fourth and fifth broker.

You wouldn’t believe how often that happens. Even with high-priced properties from 10 million.

Danger: The object is burned.

Factors for the sale: buyer and psychology

Real estate is subject to 2 factors:

• Number-based
• Emotion-based

Emotions are quickly explained: everyone likes to buy nearby, they know their way around here. If it were purely a matter of numbers, there are usually always interesting alternatives (locations) with better returns. This means that emotional factors also play a role.

Of course, a “burnt property” does not mean that you lose 70%, 80% of the purchase price, but it delays the sale of real estate, sometimes even in the years. Especially in the case of houses. Often private sellers then have to accept a lower offered price.

After all, at some point it will have to be sold, especially if a new property has already been financed, whether the move is done or the new love lives in another city.

Anonymity, exclusivity: off market to known buyers

Selling anonymously isn’t just important for construction companies, these two groups usually don’t want to attract attention either:

1. Wealthy individuals and public figures
2. Disposal before inheritance

Wealthy individuals and public figures – In addition to price, there is the notoriety of the owners described earlier. In particular, wealthy individuals and public figures do not want their properties to be open to view. Whether fans or members of the press, anonymity is considered very, very important in millionaire circles.

Then there is another group that prefers to sell anonymously and thus at the same time benefit from the effect of the exclusive sale, a higher purchase price.

Sale before Inheritance – Even on the subject of selling property before death, there are many people who do not want their own children or closer relatives, often even neighbours to know about the property sale. This could lead to disputes before a sale is completed.

Tip. Are you still thinking about whether to sell or bequeath? Learn how to do it here: Bequeath correctly. Also for your children and loved ones: Inherit correctly.

Scarcity effect due to exclusivity: influence purchase price

This shortage (i.e. the targeted approach of individual investors) also has a positive effect on the selling price that can be achieved.

As long as the offer is only available to one person, it is extremely exclusive and accordingly, higher sums are accepted in order to secure this offer.

Another advantage, this ensures an accelerated buying process.

After all, the prospective buyer then knows that he or she is the only person to whom the property has been offered so far.

Conversely: If a property is on five portals and it hasn’t sold yet, why push it? So far, it doesn’t seem to be going well either.

Now imagine using that knowledge as a savvy real estate agent (buyer and seller) when you sell your property, maybe even for the very first time. So good tips are worth a lot, as is experience. Especially when it comes to negotiations.

Negotiation risk: price corrections and renegotiation

Even in the preliminary negotiations, people like to play the supply / demand card. In the real situation, sellers quickly become uncertain. Some buyers negotiate until the last second.

It’s the same with real estate agents when they know that three other agents have the property. Suddenly you can make a lot on the price with skillful negotiations, I could call somewhere else.

In short, the more exclusive the sale of a property, the smaller the asking price, the faster and more profitable land, exclusive and large properties are sold.

Real estate portals clearly offer the wrong target group here. Private buyers have no interest in such costly and also elaborate projects. But for project developers, regardless of whether they are private individuals, property developers or large investment funds, such offers can be very interesting. At least if you have the right network.

How many people in Germany do you think would buy a plot of forest land in, let’s just say, Bavaria? How many people would buy a stake in a mine that extracts metals, for example? That’s exactly what you need very exclusive and financially strong investors for. Water source, ore mine, forest property, it becomes even more interesting with real estate and investment objects, which do not correspond to the typical condominium or the terraced house. Such things are e.g. water sources, mines for copper, iron ore or forest land, as well as agricultural land.

You can already see how diverse the things are that are taught. The A&O is always a sound value.

Valuation and expert opinion – Well-founded… !!!!

How much is your property worth? Believe me, a majority of real estate agents will figure in a great total! You’ll think to yourself:

How much is my property worth?

Why do most real estate agents do this? Of course, private sellers usually get one or two comparative offers. So if agent A says your house is worth €900,000, agent B says €920,000 and agent C says €950,000, it’s clear who you’re going to choose.

The danger: overvaluation by brokers

Caution. This is a false valuation that ultimately leads to the very mistakes mentioned above: 10 portals, 10 brokers. In the end, your condo, house or apartment building is on countless portals and worse, maybe even with countless brokers.

Why? Because the first broker has not achieved a sale, due to the overvaluation.

Another essential source of danger:

Credit check of interests: Proof of capital

Credit checks are extremely important for real estate sellers. After all, you don’t want to be negotiating with one, two or even three people who can’t even afford your property or their land! The higher the value of a property, the more thorough this check and valuation of the property needs to be.

Such properties (20, 30 or more units) are of course no longer bought by private individuals, but usually by companies, institutions or said investment funds. Accordingly, the complexity of checking creditworthiness also increases. It becomes even more complex with foreign investors.

If you work with off market, because here, as with us, a large part of the buyers are already known from the history. Accordingly, capital evidence can be provided quickly, communication is good and accordingly, information, documents and evidence are also available quickly.