|International Tax Rules||8||87.23|
Germany ranks 16th overall on the 2019 International Tax Competitiveness Index, the same as in 2018.
- Inventory can receive Last-In-First-Out treatment, the most neutral treatment of inventory costs.
- Germany has a broad tax treaty network, with 96 countries.
- The VAT rate of 19 percent is near the OECD average (19.1 percent) and the VAT compliance burden is relatively low.
- Germany has the fifth highest corporate income tax rate among OECD countries, at 29.9 percent.
- The personal income tax is complex with an associated compliance burden of 134 hours-the third highest among OECD countries.
- Companies are limited in the amount of net operating losses they can use to offset income on future or previous tax returns.