If so, your company is also included in the recently published tax audit statistics. Here is the result of the tax audits from 2012: 13,271 tax auditors auditing 8.5 million businesses generated EUR 19 billion in additional taxes and interest. Medium-sized businesses (more than 52,000 companies) are audited on average every 15.2 years. A medium-sized business is defined as one with revenue of more than EUR 900,000 or a taxable profit of more than EUR 56,000. Large businesses (more than 41,000 companies) are audited on average every 4.6 years. A large business is defined as one with revenue of more than EUR 7.5 million or a taxable profit of more than EUR 280,000. The largest amounts of the approximately EUR 19 billion in additional taxes were collected from corporate income tax (plus EUR 5.13 billion) and trade tax (plus EUR 4.03 billion). VAT accounted for a relatively small amount (plus EUR 1.9 billion).
Frequently asked questions
Frequently asked questions
How much in additional tax revenue did tax audits generate in 2012?
In 2012, approximately 13,271 tax auditors in Germany generated around EUR 19 billion in additional taxes and interest. Samples were drawn from approximately 8.5 million businesses. The largest results came from corporate income tax (EUR 5.13 billion) and trade tax (EUR 4.03 billion), while VAT contributed comparatively little at EUR 1.9 billion.
At what thresholds does a business qualify as a medium-sized enterprise?
For tax purposes, a business is classified as a medium-sized enterprise if its revenue exceeds EUR 900,000 or its taxable profit exceeds EUR 56,000. This classification is relevant for the frequency of tax audits. On average, medium-sized enterprises are audited every 15.2 years.
When is a company classified as a large enterprise for tax audit purposes?
A company qualifies as a large enterprise (Großbetrieb) if its annual turnover exceeds EUR 7.5 million or its taxable profit exceeds EUR 280,000. Large enterprises face significantly closer scrutiny by the tax authorities and are audited, on average, every 4.6 years.
How often are medium-sized and large businesses audited on a statistical average?
On a statistical average, medium-sized businesses are subject to a tax audit only every 15.2 years. Large businesses, by contrast, are audited far more frequently, on a cycle of approximately 4.6 years. This frequency reflects the significantly higher tax revenue and risk potential associated with large enterprises.
Which tax types generate the highest additional assessments in tax audits?
The highest additional results from tax audits typically arise from corporate income tax (Körperschaftsteuer) and trade tax (Gewerbesteuer). According to the 2012 statistics, additional assessments amounted to approximately EUR 5.13 billion for corporate income tax and around EUR 4.03 billion for trade tax. VAT (Umsatzsteuer) was comparatively low at EUR 1.9 billion.