Every year, when we carefully and attentively review and fill out the German tax return, we encounter the tax number. If you wonder what it actually is, what it looks like, who really needs it, and for what purpose it is assigned to each person, you will find the answers to these questions in this article.
What is a tax number?
The tax number in Germany consists of thirteen digits, which enable the tax office to quickly identify taxpayers and assign them the correct tax returns that are submitted each year. It is assigned to individuals and companies by the German tax office according to their place of residence or company headquarters. The tax number is closely linked to tax payment and must always be provided in the tax return and all other formal documents related to taxes.
What is a tax number and an identification number?
When discussing the tax number, one must not forget the difference between it and the tax identification number. The latter is personalized and valid for a lifetime, whereas the former can change (for example, in the event of a move associated with a change of the responsible tax office and thus the tax number). Familiarize yourself with the information about the German tax identification number. You will find it in the next section of our article.
Why does the tax office issue a new tax number?
Every person in Germany is assigned an eleven-digit identification number at birth or when registering in the country. It was introduced in 2008 and replaced the tax number that applied to natural persons up until then. This change was made with the desire to modernize the tax process. Under the tax identification number, data are stored that serve for unique verification. These include, for example:
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- Name
- Surname
- Gender
- Date and place of birth
- Current residential address
- All previous tax matters
It is not exactly known how long the ‘old’ tax number will remain valid, therefore it is recommended to state both numbers – both the tax and the identification number – in any communication with the German tax office during this transition period. This measure requires no effort from us and greatly facilitates the daily work of the administration.
How long is the tax number valid for companies?
In Germany, too, the tax number is required for companies and firms – without it, it is not possible to open a corporate account or conduct business. To obtain it, an appropriate application must be submitted to the responsible tax office. Since this number serves to uniquely assign individuals or companies, the first group cannot apply for a second tax number, whereas the second group can very well. This happens, for instance, when establishing another company; each must have its own tax number, which allows for a separate tax return to be filed. Individuals can also have multiple tax numbers if they engage in several business activities.
Where do I get a tax number?
As we have already mentioned, the tax identification number in Germany is automatically assigned to every newborn at birth. Its confirmation can be found in a letter from the Federal Central Tax Office (BZSt), titled ‘Assignment of the Identification Number pursuant to § 139b of the German Tax Code (AO)’. But what if people from abroad move to this country? They must apply for the assignment of a tax identification number at the BZSt, and this can happen in two ways:
- Online, through a data entry form
- In writing, by post.
This is also possible and necessary if one’s own tax ID is lost.
Where do I find my tax number?
The German tax number is located in the top left corner of the first page of the tax notice. The tax identification number can also be found there. If it is not possible to find one of these two numbers, they can be requested from the responsible tax office (for the tax number) or the BZSt (for the tax identification number). Further information on where to find your tax number and/or tax identification number can be found in our article. We invite you to familiarize yourself with it and expand your knowledge about the German tax number.
Maciej Szewczyk
He gained experience as a consultant on IT projects for many international companies. In 2017, he founded the startup taxando GmbH, where he developed the innovative tax app Taxando, which simplifies the filing of annual tax returns.
Maciej Szewczyk combines technological expertise with in-depth knowledge of tax regulations, making him an expert in his field. In his private life, he is a happy husband and father and lives with his family in Berlin.
