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Tax on sale of property - less than 3 years

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I recently heard that if you sell your flat/house in Germany, and you live it in yourself, AND it's less than 3 years since you bought it, you have to pay tax ("Gewinnsteuer" perhaps). Is this right? I know of speculation tax on property which is rented out and sold within 10 years, but never heard of this for when you live in the property yourself.

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21 minutes ago, notfromhere said:

I recently heard that if you sell your flat/house in Germany, and you live it in yourself, AND it's less than 3 years since you bought it, you have to pay tax ("Gewinnsteuer" perhaps). Is this right? 

 

More or less: In order to sell the flat/house tax-free, you must have lived in it yourself at least the year in which you want to sell and the two years before. With the forum search you will also find numerous threads about it. 

 

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2 hours ago, someonesdaughter said:

 

More or less: In order to sell the flat/house tax-free, you must have lived in it yourself at least the year in which you want to sell and the two years before. With the forum search you will also find numerous threads about it. 

 

Thanks. So it‘s at least 2, max 3 if I understand correctly. Do you know at what percentage? Is it exactly profit made from the „Kaufpreis“ or can the Grunderbsteuer and Notarkosten be considered?

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2 hours ago, notfromhere said:

Thanks. So it‘s at least 2, max 3 if I understand correctly.

 

As I said, the year in which you want to sell and the two years before – so it's at least 2+x, not 2.

 

2 hours ago, notfromhere said:

 

Do you know at what percentage? Is it exactly profit made from the „Kaufpreis“ or can the Grunderbsteuer and Notarkosten be considered?

 

No fixed percentage, the amount depends on your individual income tax rate. The income tax rate is calculated on the basis of your total income. Incidental costs of the purchase (broker, notary land transfer tax and costs for entry in the land register) can be deducted from the income. 

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6 hours ago, notfromhere said:

I recently heard that if you sell your flat/house in Germany, and you live it in yourself, AND it's less than 3 years since you bought it, you have to pay tax ("Gewinnsteuer" perhaps). Is this right? I know of speculation tax on property which is rented out and sold within 10 years, but never heard of this for when you live in the property yourself.

 

If only you ever lived in it, the profit is tax-free, no matter how little time you lived in it, for details please see:

 

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10 hours ago, PandaMunich said:

 

If only you ever lived in it, the profit is tax-free, no matter how little time you lived in it, for details please see:

 

 

Thanks for the clarification and the previous thread. I somehow overlooked this. In any case I read through this thread, by the way you also state the 2/3 year tax rule:

 

 

 

Maybe I overlook something here. 

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Yes, you overlook that if only you ever lived in it, you don't have to keep it 2.x years for the profit to be tax-free. You could sell it the next day and the profit would still be tax-free.

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No, the law clearly says that you need to have used it "for your own living purposes".

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So if you lived in it for a month, and had to move out due to the split (but the wife remains until the sale of the flat), are you still taxed?

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Yes, in the "less than 2.x years" but "only you ever lived in it" case, your part of the profit unfortunately is taxable (your wife's part is not), see the last paragraph of this article by a lawyer: https://www.stb-web.de/news/article.php/id/14531

 

If, on the other hand, you can use the 2.x year rule, both your profits would be tax-free if you manage to sell the flat in the same year you moved out: https://www.fr.de/ratgeber/geld/spekulationsfrist-privaten-hausverkauf-11046328.html

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