5 ms·
>Why do people earn only 5k after tax ? As a side note, the 5k are not actually "purchasing power" or really-really "after tax" as it is usually intended in th
by jaclaz 7y ago
>Why do people earn only 5k after tax ?
As a side note, the 5k are not actually "purchasing power" or really-really "after tax" as it is usually intended in the US, in the EU there is VAT:
https://en.wikipedia.org/wiki/Value-added_tax https://en.wikipedia.org/wiki/Value-added_tax
https://en.wikipedia.org/wiki/European_Union_value_added_tax https://en.wikipedia.org/wiki/European_Union_value_added_tax
which is similar to the "sales tax" in the US but that is usually much higher.
In Germany (Mehrwertsteuer) it is (relativaly) low at 19% standard.
- wil421 7y agoIn the US we have sales tax (and even city tax) that varies from state, county, city. Most states also have an income tax. Do German states have income taxes?
- thecleaner 7y agoNot that I am aware of. Tax rate seems fairly constant from State to state
- luckylion 7y agoNo, states and county-equivalents get a share from the federal income tax, and add other taxes (mostly on county-level), "Gewerbesteuer", which is an additional tax on businesses, and property tax being the largest ones.