Tax on stock investment

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Dear TT, 

 

I am looking into investing options here in Germany. 
I am curious about stocks at the moment. 

 

From what I read, the taxes apply as follows: 

 

.1. Tax on Stock dividend

Divident_Tax = (Withholding_Tax + Solidarity_Tax_Withholding) x Investment_Type_Index x (100 - Corporate_Tax) + Corporate_Tax


Withholding tax = 25% 
Solidarity tax on withholding = 1.375 % 
InvestmentTypeIndex_Tax = 0.7 for stocks 
Corporate tax = 15% 

Dividend Tax = Dividend_Income x (25% + 1.375%) x 0.7 x 0.85 + 15% 

 

-> Divident Tax = 30.69 % of dividend income 

 

I don't know if this is right, but if it is, it means the tax is more than double than U.S (15%) 

 

.2. Tax on estimated gain 

 

Fictive Profit = Stock_Value x (Estimated_Gain) x (Withholding_Tax + Solidarity_Tax_Withholding) x 0.7 

 

The estimated gain seems to be some variable depending on year. I see values like 0.59% - 1.1%

 

Fictive profit tax = Stock_Value x 0.011 x 0.26375 x 0.7
Fictive profit tax = Stock_Value x 0.00203 

 

-> Fictive profit tax = 0.203% of stock value 

 

The tax is a bit higher since you lose the compound interest benefit from the money you pay as tax. 

 

If the stock gained less than Estimated_Gain, then you pay tax only on the actual gain. 

 

.3. Tax on Stock sale 

 

Sale Tax = (Stock_Sale_Price - Stock_Buying_Price - Total_Fictive_Tax_Already_Paid) x 0.7 x (Withholding_Tax + Solidarity_Tax_Withholding)
Sale Tax  = Sale Profit x 0.7 x 0.26375 

Sale Tax = Sale Profit x 0.184

 

-> Sale Tax = 18.4% of profit on sale 


Now a few questions:

.1. Is the above accurate? 
.2. If you sell for a loss, do you get tax reduction on your income (e.g. salary)? 
.3. I see that there is an allowance of 801 Euro of non-taxable income. Is the allowance already included in your salary or it is on top of that? 
.4. If I move to another country, will I pay the full sale tax on that country? Let's assume that I go and work 1 year as freelance in a tax haven country. If I sell all my stocks there, do I pay any tax in Germany?

 

Thank you in advance.

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