Taxpayer count sees a decline for the first time in more than a decade.
During the initial wave of the 2020 Corona Pandemic, the amount of taxpayers experienced a decline for the first time in over a decade. The Statistical Office in Wiesbaden revealed on Thursday that the taxpayer count dwindled by 0.2%, equivalent to 100,000 individuals, compared to the year prior. This resulted in a total of 42.7 million people who were obligated to pay taxes on their income.
The revenue surged by six billion Euros to 1.9 billion Euros, representing a 0.3% increase. Statisticians attributed this rise, in part, to Corona relief grants factored into the statistics. The data was only accessible today due to extended deadlines for tax assessment during the Corona crisis.
The majority of income in 2020 was derived from wages, amounting to 1.5 billion Euros. Compared to the previous year, this figure declined by a substantial 11 billion Euros, primarily due to a decrease in the workforce (by 0.7%).
Surprisingly, despite the pandemic, more individuals fell under the highest tax bracket of 45% in 2020, as they earned over 270,501 Euros. This rate applied to 119,500 taxpayers, which was approximately 5,000 more than in the preceding year.
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In the context of the Corona year, the number of taxpayers experienced a decline for the first time in over a decade, resulting in a total of 42.7 million individuals who were obligated to pay taxes. Despite the pandemic, more individuals fell under the highest tax bracket of 45%, indicating an increase in high-income earners during that Corona year.
