Taxes

Germany — Tax: Wealth Tax

Germany currently levies no wealth tax (Vermögensteuer) — the tax was suspended by the Federal Constitutional Court in 1995 as unconstitutional due to unequal treatment across asset types, and no wealth tax has applied to individuals or companies since. There is periodic political discussion about reintroducing one (e.g. a February 2026 Left Party/DIW Berlin study proposing a wealth tax projected to raise ~€100-147 billion/year), but as of 2026 no such tax is in force or imminently scheduled.

PwC Worldwide Tax Summaries / Federal Constitutional Court ruling · Last verified 2026-07-20

Key Facts

  • Germany has no wealth tax — the Vermögensteuer was ruled unconstitutional and suspended by the Federal Constitutional Court in 1995.
  • No wealth tax currently applies to individuals or companies in Germany as of 2026.
  • Political proposals to reintroduce a wealth tax (e.g. a February 2026 Left Party study) exist but have not been enacted or scheduled.

Common Mistakes

  • Assuming political proposals to reintroduce a wealth tax mean one currently exists or is imminent — as of 2026, none is in force.

Related Topics

income-tax
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