Taxes for self employed

Nick639

Member

Member since 13 September 2020

Trier, Rhineland-Palatinate

Nick639

12 January 2021 18:09:39

Nick639

12 January 2021 18:09:39

Trier, Rhineland-Palatinate

I plan to be teaching English online, setting my own hours, and would be getting paid a lump sum into my PayPal at the end of each week. How would this effect me when I do my taxes because I read it's important to keep track of each client and all sorts of detailed information? The platform i use simply pays the lump sum into my PayPal each week depending on how many hours I work making it impossible to gather client information for invoices like I read about in other posts.

beppi

Germany - Singapore Expert

Member since 08 August 2010

World Citizen

Germany & Singapore Expert

beppi

12 January 2021 21:45:50

14817

beppi

12 January 2021 21:45:50

14817

World Citizen

You better engage an accountant and tax consultant for these topics, which are extremely complicated in Germany. Doing it wrongly is a criminal offense- and they do check!
I only know that you will have to issue a proper bill (that correctly indicates the "MWSt" or GST, which you have to deduct and send to the tax authority) before payment and that there are corporate taxes to be paid on the profit, as well as income tax on the portion of the profit that you keep for yourself.
I do not tink the setup you describe will work at all here.