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Whether you’re a Freiberufler or Gewerbe, you’ll need to submit this form through ELSTER to start your self-employed life in Germany. If you’ve completed Step 1 and discovered that your business activity qualifies you as a Gewerbe, you’ll need to register your business and secure a trade licence (Gewerbeschein). We explore the advantages of opening a business account right off the bat in our Expat’s guide to a business account. An exact description of your future self-employment activity (must be written in German) Financial details of your future self-employment activity (expected profit, not revenue)

As a small business owner (Kleinunternehmer), you’re 100% exempt from paying VAT. – you’re unable to deduct VAT from business expenses Small player reputation – the absence of VAT is noticeable on invoices, and while your clients will enjoy paying less, they’ll perceive you as a small business. You submit an annual trade tax return (Gewerbesteuererklärung) at the end of the financial year For all self-employed business types except ‘small business owners’ (Kleinunternehmer). (Umsatzsteuervoranmeldung) You submit an annual VAT return (Umsatzsteuererklärung) at the end of the financial year Small business owners (Kleinunternehmer) are also required to do this, only in a simplified form

Our old blog is emerging from its cocoon in a new-formed, evolved identity: introducing Workaround, for the boldly self-employed. We’ve simply freshened things up to align with our new identity and bring you more helpful tips, more profound inspiration and sharper news – straight from the heart of Holvi. ’ parts of self-employment – from top-secret tips on dealing with German bureaucracy, to exploring the darker side of passion, to sharing insights on how to find work life balance. Workaround covers both by: Making it easier to run your business with practical tips (in plain language, no accounting jargon) Digging into the heart of self-employment and sharing real life stories from other business owners

(see below) Certificate of non-objection (Unbedenklichkeitsbescheinigung) from the tax office and town hall To confirm whether you need a licence to practice your trade, consult with your local trade office or IHK (Chamber of Industry and Commerce). To register your business at the trade office, you’ll need to bring: Valid ID, such as a passport or identity card (not a driving licence) Visa or residence permit enabling you to carry out self-employed activity Proof of your qualifications and any permits or licences, as required Tip – After this, your information will automatically be forwarded to your local tax office (Finanzamt), as well as your local IHK and HWK, bringing about the following events: You’ll fill out the Fragebogen zur Steuerlichen Erfassung online (mandatory as of 2021) and receive your tax ID number from the Finanzamt Unique number given to each company listed in the Commercial Register Small business – refers to no business registration with the trade office Want to learn more about freelancing as an expat in Germany?