Completing the tax registration questionnaire through the official ELSTER portal is mandatory for every new business. Based on this information, the tax office assigns a tax number and sets the advance tax payments.

Deadline and preparing your ELSTER account

The questionnaire is submitted electronically within one month of starting the activity. You need a working ELSTER certificate. Founders can use their own account or have a tax adviser submit the form.

Revenue forecast and advance payments

The questionnaire asks for your expected profit for the first and second calendar years. Do not inflate the figures without confirmed contracts: the tax office uses them to calculate quarterly advance payments of income tax (Einkommensteuer) or corporation tax (Körperschaftsteuer).

Choosing your VAT regime and the small business rule (Section 19 UStG)

You decide whether to use the small business rule (Kleinunternehmerregelung). If your expected turnover in the first year does not exceed €25,000, you do not have to charge VAT; in subsequent years the thresholds are €25,000 in the previous year and €100,000 in the current year. However, you then cannot reclaim the VAT on equipment and office technology you buy, which is a disadvantage if you have large start-up investments.

Requesting an EU VAT ID (USt-IdNr)

If you plan to serve clients in other EU countries, buy software subscriptions (for example from Google or Adobe) or run online advertising, tick the box to request a VAT identification number. It is issued by the Federal Central Tax Office (BZSt) and allows you to use the reverse charge procedure.

What to check

  • Set up your ELSTER account early, allowing for the letter with the code to arrive by post.
  • Draw up a realistic monthly forecast of income and expenses for the next two years.
  • Decide whether the small business rule makes sense based on your planned equipment purchases.
  • Request the VAT ID directly in the questionnaire if you work with partners abroad.

Example situation

A consultant with forecast turnover of €18,000 opts out of the small business rule so that he can reclaim the 19% VAT on his laptop and studio equipment.

Next step

A carefully completed questionnaire prevents excessive advance tax demands and speeds up the issue of your tax number to two to four weeks.

Official information on this topic

Checklists and examples are organisational recommendations. Requirements depend on the procedure, the city and your situation; check them with the relevant office before you act. Please discuss legal and tax questions with an authorised professional.

This article was prepared with the help of AI. The example illustrates the approach and does not describe a client case.