United Kingdom vs Germany
Corporate Tax Comparison
Time of Update: United Kingdom: 4/02/2026 / Germany: 4/02/2026
Compare United Kingdom and Germany corporate tax rates, filing due dates, withholding tax, VAT, capital gains tax, and effective tax metrics for cross-border company planning.
United Kingdom vs Germany Corporate Tax Comparison
Basic Corporate Tax Comparison
Corporate Income Tax (CIT)
United Kingdom
Germany
General CIT Rate:
1. Companies with profits exceeding £250,000 are subject to a main rate of 25% (effective from 1 April 2023).
2. Companies with profits not exceeding £50,000 are subject to a small profits rate of 19% (effective from 1 April 2023).
3. A tapered tax rate applies to profits falling between £50,000 and £250,000.
2. Companies with profits not exceeding £50,000 are subject to a small profits rate of 19% (effective from 1 April 2023).
3. A tapered tax rate applies to profits falling between £50,000 and £250,000.
General CIT Rate:
Corporate income tax is 15%, plus a 5.5% solidarity surcharge on the corporate income tax, resulting in a combined rate of 15.825%. Trade tax applies separately and generally ranges from 8.75% to 20.3% depending on the municipality. According to legislative changes adopted in 2025, the corporation tax rate is planned to decrease to 14% in 2028, 13% in 2029, 12% in 2030, 11% in 2031, and 10% from 2032 onward, with the solidarity surcharge continuing to apply.
CIT Return Due Date:
Tax returns need to be submitted within one year after the end of the accounting period.
CIT Return Due Date:
July 31st (or extended to the end of February of the following year if the taxpayer instructs a professional tax advisor).
CIT Payment Due Date:
According to the scale of the payment company, there may be differences. For more information, please refer to the UK company summary.
CIT Payment Due Date:
As stated in the assessment notice.
CIT Estimated Payment Due Date:
According to the scale of the payment company, there may be differences. For more information, please refer to the UK company summary.
CIT Estimated Payment Due Date:
Quarterly installment payments are due on the 10th day of March, June, September, and December.
Withholding Tax (WHT)
United Kingdom
Germany
Resident Withholding Tax (Dividend/Interest/Royalty):
0/20/20
Resident Withholding Tax (Dividend/Interest/Royalty):
25/25/0
None-Resident Withholding Tax (Dividend/Interest/Royalty):
0/20/20
None-Resident Withholding Tax (Dividend/Interest/Royalty):
25/0/15
Value-Added Tax (VAT)
Capital Gain Tax (CGT)
United Kingdom
Germany
General Capital Gain Tax Rate:
Capital gains are subject to the regular corporate tax rate.
General Capital Gain Tax Rate:
Capital gains are subject to the normal corporate tax rate.
Effective Tax Rate (ETR)
United Kingdom
Germany
Composite Effective Average Tax Rate:
22.55
Composite Effective Average Tax Rate:
26.59
Composite Effective Marginal Tax Rate:
11.51
Composite Effective Marginal Tax Rate:
11.00
