Tax in Germany and in the Emirates
August 5, 2015 | 30,00 EUR | answered by StB Patrick Färber
Hello,
my family and I will be moving to the Emirates soon. I will be working here for about a week every 3 months and will therefore remain registered here. However, my family will deregister here. I have property here that I will rent out furnished on a weekly basis.
Am I subject to unlimited taxation in Germany with my entire income, or do I only have to pay taxes on the income from my work in Germany and my rental income here?
Best regards
Dear inquirer,
Due to the specificities of the double taxation agreement with the UAE, you must fully declare your income in Germany, taking into account foreign taxes. As the UAE does not levy taxes, you will be subject to full German taxation.
By renting out your property on a weekly basis, you will maintain your tax residency in Germany and be subject to unlimited taxation.
Rental income also falls under unlimited taxation. Please note that short-term rentals as holiday accommodation are subject to VAT.
Kind regards,
Tax Advisor Färber
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