Germany Church Tax (Kirchensteuer): What Expats & Residents should know

Germany has a unique system in which registered members of specific religious communities pay a church tax (Kirchensteuer)—this tax funds religious institutions and their services, including social work, education, and charitable activities.

Overview of the German Church Tax System

The church tax is mandatory for members of recognized religious groups, mainly Catholic, Protestant, and Jewish congregations. It is collected by the government on behalf of the churches, making it an efficient and enforceable system. The tax rate is typically 8% or 9% of a taxpayer’s income tax, depending on their federal state.

Why Does It Exist?

The church tax originated in the 19th century when churches lost their financial independence due to secularization. The German government introduced a state-collected tax system to ensure their continued operation. This practice was later reinforced in the German Constitution (Grundgesetz), Article 140, allowing churches to collect taxes from their members.

Who Is Affected?

• German citizens and residents who declare a religious affiliation during registration (Anmeldung) must pay the church tax (Kirchensteuer).
• Expats who officially register as Catholics, Protestants, or Jews in Germany must pay the church tax (Kirchensteuer).
• Anyone filing taxes in Germany who has a registered religious status

The Legal Basis of Church Tax

The German constitution and legal system regulate the Kirchensteuer, ensuring its collection and compliance with religious freedom laws.

Constitutional Foundations and Legal Framework

The church tax system is based on Article 140 of the German Constitution (Grundgesetz), which incorporates Article 137 of the Weimar Constitution (1919). This article grants religious communities the right to levy taxes on their members as long as they are recognized as public-law entities (Körperschaften des öffentlichen Rechts).

The primary laws governing the church tax include:

• Grundgesetz (Basic Law), Article 140 – Protects religious groups’ right to collect taxes.
• Weimar Constitution, Article 137 – Establishes religious communities as tax-collecting entities.
• Church Tax Laws (Kirchensteuergesetze) – State-level laws defining tax rates and collection procedures.

Role of the German State in Collecting Church Tax

Although churches levy the tax, state tax offices (Finanzämter) collect it on their behalf. The collected funds are transferred to religious institutions after a small administrative fee (typically 2-4%) is deducted. This cooperation makes the system efficient and enforceable, as church tax is deducted automatically from income tax (Lohnsteuer).

How the Tax Aligns with Religious Freedom Laws

Germany upholds religious freedom, meaning no one must belong to a church or pay taxes. The system allows individuals to:

• You can opt-out by formally leaving the church (Kirchenaustritt) through a local court (Amtsgericht) or municipal office.
• Remain tax-free if they do not declare a religious affiliation during Anmeldung (residence registration).

Who Has to Pay the Church Tax?

The Kirchensteuer applies to individuals officially registered as members of certain religious groups in Germany. A person’s liability depends on citizenship, residency status, and religious affiliation.

German Citizens and Permanent Residents

German citizens and legal residents who are members of recognized religious communities, such as Catholicism, Protestantism (Evangelical), and Judaism, must pay the church tax (Kirchensteuer). The government automatically deducts this tax from their income tax (Lohnsteuer) and includes it in their annual tax return. The state collects and transfers the funds to religious institutions, ensuring financial support for religious services and community programs.

Muslims, Hindus, Buddhists, and other faith groups are usually exempt from the church tax, as their communities do not participate in this taxation system.

Expats and Foreign Workers: Are They Liable?

Expats living and working in Germany may also be subject to church tax if they declare a religious affiliation during their residence registration (Anmeldung). If an expat registers as Catholic, Protestant, or Jewish, the tax is automatically applied to their income. Many foreign workers unknowingly register for the tax by listing their religion on official documents, leading to unexpected deductions from their salary. Expats from countries like Italy, Switzerland, and Austria, where similar church tax systems exist, may already be familiar with this practice. However, those from countries where churches are funded through donations or state subsidies might find it unusual.

Exceptions and Exemptions

Not everyone must pay the church tax, even in Germany. One of the most common ways to avoid it is by formally leaving the church (Kirchenaustritt). This requires submitting an official declaration at the Amtsgericht (district court) or municipal office, typically for a small fee ranging from €10 to €50. Once the declaration is processed, the church tax deductions stop immediately. However, leaving the church may result in losing religious privileges, such as church weddings, baptisms, and funerals.

Individuals with low income, students, and unemployed are generally exempt from church tax since they do not earn above the taxable income threshold. The same applies to diplomats and some foreign officials, who may be exempt under international agreements. Self-employed individuals and freelancers are still liable for the tax, but their payment structure may differ based on income tax status.

For expats, the key to avoiding unwanted church tax payments is being mindful when filling out Anmeldung forms. Declaring a religious affiliation automatically enrolls them in the Kirchensteuer system, making it essential to understand the consequences before selecting.

How Much is the Church Tax?

The Kirchensteuer is calculated as a percentage of an individual’s income tax (Lohnsteuer) rather than their total income. The exact amount varies depending on the federal state and the taxpayer’s earnings.

Standard Tax Rate and Regional Variations

The church tax rate in Germany is 8% or 9% of an individual’s income tax liability, not their total salary. Bavaria and Baden-Württemberg’s rate is 8%, while all other federal states apply 9%. Since the tax is linked to income tax, higher earners pay more, while those with lower income contribute less.

Calculation Based on Income Tax

The church tax in Germany is automatically deducted from the income tax that individuals pay to the German tax office (Finanzamt). For example, if someone owes €10,000 in income tax and lives in Berlin, where the church tax rate is 9%, they would pay €900 in church tax. Conversely, if they lived in Munich (Bavaria), where the rate is 8%, their church tax would be €800. Since this tax is directly linked to income tax, individuals who qualify for tax reductions or deductions will also see a decrease in their church tax amount.

How It Impacts Your Total Tax Burden

The church tax can significantly increase the overall tax burden for high-income earners, as Germany already has progressive income tax rates that go up to 45% for the highest earners. However, the church tax is fully deductible as an extraordinary expense (Sonderausgaben) on annual tax returns, reducing taxable income and slightly offsetting its impact. Lower-income individuals, especially those earning below the taxable threshold, either pay a minimal amount or are unaffected.

How is the Church Tax Collected?

The Kirchensteuer is collected efficiently through the German tax system, ensuring registered religious members contribute automatically. The process involves payroll deductions, registration of religious affiliation, and adjustments through tax declarations.

Automatic Payroll Deduction System

Employees’ church tax is deducted directly from their monthly salary by their employer, similar to income tax (Lohnsteuer). This deduction appears on the monthly payslip (Gehaltsabrechnung) under Kirchensteuer. Employers transfer the collected tax to the local Finanzamt (tax office), which then forwards it to the respective religious institution. This system ensures automatic and consistent payment without requiring direct action from the taxpayer.

Self-employed individuals and freelancers who do not have an employer handling payroll taxes must declare and pay church tax themselves as part of their annual income tax return (Einkommensteuererklärung). The tax office calculates the church tax based on their reported income tax liability and issues a payment request accordingly.

Reporting Religious Affiliation When Registering Residence

The registration process (Anmeldung) is crucial in determining church tax liability. When individuals register their residence at the local Bürgeramt (citizen’s office), they are asked to declare their religious affiliation. Suppose they specify Catholic, Protestant (Evangelical), or Jewish. In that case, they are automatically enrolled in the Kirchensteuer system, and deductions begin with their first paycheck. Expats should be careful when filling out this form, as listing a religion may result in unexpected tax deductions.

The person is exempt from the church tax if no religious affiliation is declared. However, suppose someone previously registered with a religious group but later wants to stop paying. In that case, they must formally leave the church through a Kirchenaustritt (church exit) process.

Tax Declarations and Adjustments

At the end of the year, taxpayers file an income tax return (Steuererklärung), which includes church tax as an extraordinary expense (Sonderausgaben). This means that the amount paid in Kirchensteuer reduces taxable income, resulting in a partial financial benefit. The tax office handles any overpayments or necessary adjustments, and refunds may be issued if too much church tax is deducted.

Opting Out: How to Leave the Church Tax System

In Germany, individuals who do not wish to pay the Kirchensteuer can legally opt out by formally withdrawing from their religious community. This process, known as Kirchenaustritt (church exit), is the only way to stop church tax deductions. However, it comes with legal and social consequences that individuals should consider before deciding.

Legal Process for Church Withdrawal (Kirchenaustritt)

To officially leave the church, a person must submit a formal declaration of withdrawal at their local Amtsgericht (district court) or Bürgeramt (citizen’s office), depending on the state. Unlike in many other countries, simply stopping church attendance or declaring oneself non-religious is not enough. Without official deregistration, the church tax will continue to be deducted.

Where and How to Declare Your Exit

The Kirchenaustritt process is straightforward but requires an in-person appointment in most cases. Here’s how it works:

1. Find the Responsible Office – This is the Amtsgericht (local district court) in most states. Still, in some areas, the Bürgeramt handles church exits.
2. Prepare Required Documents – Typically, you need your valid ID (passport or residence permit) and Meldebescheinigung (proof of residence). Some offices may ask for your birth certificate if your place of birth is outside Germany.
3. Pay the Processing Fee—The exit fee varies by federal state but generally ranges from €10 to €50.
4. Receive an Official Confirmation – After processing, you will receive a certificate (Austrittsbescheinigung) confirming your church withdrawal. It’s essential to keep this document, as you may need it for future tax purposes.
5. Inform Your Employer (if applicable) –The tax office (Finanzamt) is automatically notified. Informing your employer can help ensure that church tax deductions are stopped promptly.

Potential Social and Legal Consequences of Leaving

While withdrawing from the church stops the tax obligation, it may have other consequences, both practical and social. Individuals who leave the church lose access to specific religious services, including church weddings, baptisms, and funerals. In some Catholic institutions, even working for church-run schools, hospitals, or charities may become difficult, as these organizations often require employees to be registered church members.

Socially, some people may face disapproval from family or religious communities, especially in more traditional circles. However, leaving the church in Germany is a common practice, and many expats and younger generations choose to opt-out for financial or personal reasons.

For those who are particular about their decision, Kirchenaustritt is a simple administrative process that can lead to significant savings on annual taxes. However, individuals should weigh the long-term religious and cultural implications before making the final step.

Church Tax and Non-Christian Religions

The Kirchensteuer primarily applies to members of Christian churches and Jewish communities in Germany. However, followers of other religions, such as Muslims, Buddhists, and Hindus, are generally not affected by the church tax system unless their religious organization has opted into state-recognized taxation.

Are Muslims, Jews, Buddhists, and Hindus Affected?

In Germany, Catholics, Protestants (Evangelical Church), and members of Jewish congregations are required to pay church tax if they officially declare their religious affiliation. However, Kirchensteuer does not apply to Muslims, Buddhists, Hindus, and many other religious groups because their communities are not registered as public-law entities (Körperschaften des öffentlichen Rechts), which is a legal requirement to collect church tax.

Muslim communities in Germany, for example, are primarily funded through donations (Zakat and Sadaqah) and membership fees rather than through state taxation. Similarly, Buddhist and Hindu organizations rely on private contributions from their members rather than tax collection via the German government.

Jewish communities, however, do fall under the church tax system. Recognized Jewish congregations, such as those affiliated with the Central Council of Jews in Germany (Zentralrat der Juden in Deutschland), are entitled to receive a similar tax from their members. Jewish taxpayers who declare their faith during residence registration (Anmeldung) will be automatically enrolled in the tax system, just like Christian taxpayers.

Special Arrangements for Other Faiths

In recent years, some Muslim organizations have proposed a voluntary “Mosque Tax” (Moscheesteuer), similar to Kirchensteuer, to ensure financial independence and reduce reliance on foreign donations. However, this has not yet been widely implemented. Due to their smaller size in Germany, Hindu, and Buddhist groups have also not pursued state-collected tax systems and continue to operate through voluntary contributions.

Controversies and Criticisms

The Kirchensteuer system has been a topic of debate in Germany for years. While supporters argue that it ensures stable funding for religious and social services, critics believe it violates personal freedom and makes religious institutions too dependent on the state. The system is also unique compared to how religious communities are funded in other countries, sparking further discussions about its fairness and necessity.

Arguments for and Against Kirchensteuer

Supporters of the church tax argue that it provides financial security for religious institutions, allowing them to maintain churches, schools, hospitals, and charitable organizations. Many churches run social programs, soup kitchens, elderly care homes, and counseling services, benefiting members and non-members alike. The state collection system ensures efficiency and prevents churches from constantly soliciting private donations. Additionally, because Kirchensteuer is tax-deductible, those who pay it receive some financial relief.

Critics, however, see the tax as outdated and argue that it forces individuals to fund religious institutions even if they no longer practice their faith. Many people also dislike the bureaucratic complexity of opting out, as it requires a formal Kirchenaustritt (church exit) process rather than a simple declaration of non-belief. There is also controversy over how churches handle members who leave, as some religious institutions impose restrictions, such as refusing church weddings, funerals, or baptisms for former members. Another significant issue is that employers are involved in religious tax collection, which some believe violates privacy.

Comparisons with Other Countries’ Religious Funding Models

Unlike Germany, most countries do not collect religious taxes through the government. Instead, religious institutions are typically funded through voluntary donations, state subsidies, or independent contributions.

• France abolished religious taxation after the 1905 law separating church and state. Churches must rely on donations, private grants, and cultural subsidies.
• Italy has an “Otto per Mille” system, where taxpayers can voluntarily allocate 0.8% of their income tax to a religious organization or a secular charity.
• Sweden collects a voluntary church fee for those who wish to contribute, but members can opt-out freely.
• The United States relies entirely on voluntary donations, and churches are granted tax-exempt status.

Compared to these models, Germany’s mandatory church tax appears highly institutionalized and enforceable, which fuels criticism from those who believe religious contributions should be a personal choice.

Public Perception and Debates

Public opinion on Kirchensteuer is divided. Older generations and practicing Christians generally support the system, recognizing its role in funding community services and preserving historic churches. Younger generations and many expats see it as an unnecessary financial burden and often opt-out when they become aware of it. The number of people formally leaving the church (Kirchenaustritt) has increased significantly, especially in urban areas.

Recent scandals involving church finances and abuse cases have also damaged trust in religious institutions, leading more people to question why the state should enforce religious taxation. Some have called for reforms, such as switching to a voluntary contribution system, while others believe Germany should follow the French model and separate religion from state funding entirely.

Despite these criticisms, Kirchensteuer remains an integral part of Germany’s religious landscape, and any significant change to the system would require constitutional amendments and political consensus.

Key Considerations for Expats

Expats moving to Germany often unknowingly enroll in the church tax system, leading to unexpected deductions from their salary. Understanding this system can significantly impact your financial security. Since Kirchensteuer is automatically collected through income tax, avoiding unintended charges is crucial. Here’s what expats should check before signing contracts and how to adjust their religious status if needed.

What to Check Before Signing Rental or Job Contracts

Although church tax is deducted through payroll, it is linked to your official religious status, first recorded during residence registration (Anmeldung) at the local Bürgeramt. Expats should pay attention to the religion field on the Anmeldung form, as declaring oneself as Catholic (römisch-katholisch), Protestant (evangelisch), or Jewish (jüdisch) will automatically enroll them in the Kirchensteuer system.

Expats should also control their financial situation by reviewing their job contracts and payslips once they start working. If church tax is being deducted, it will appear under Kirchensteuer. Employers do not decide this tax—they simply follow the data from their tax records, which are based on their Anmeldung details.

Being a registered church member might be beneficial if you rent property from church-owned organizations or apply for jobs at church-run institutions like hospitals, schools, and kindergartens. Some employers prefer employees who contribute to church tax, as it can be seen as a form of community support and may give you a competitive advantage.

How to Change Your Religious Status for Tax Purposes

Not paying church tax can have legal and financial implications, such as potential fines or legal actions, so it’s essential to understand the process of changing your religious status. If an expat mistakenly declares their religion during Anmeldung, they may need to formally withdraw from the church (Kirchenaustritt) to stop paying church tax. Simply telling the tax office or employer you don’t want to pay is not enough. The process involves:

1. Visiting the Local Amtsgericht (District Court) or Bürgeramt – Depending on the federal state, different offices handle church exit declarations.
2. Bringing Necessary Documents – A valid ID (passport or residence permit) and sometimes a Meldebescheinigung (proof of residence) are required.
3. Paying the Processing Fee—The cost varies by state but typically ranges from €10 to €50.
4. Receiving an Official Exit Certificate (Austrittsbescheinigung) confirms your withdrawal and should be kept for future reference.

Once the church exit is processed, the tax office (Finanzamt) updates your records, and Kirchensteuer deductions automatically stop.

Common Mistakes and How to Avoid Them

One of the most common mistakes expats make is declaring their religion on the Anmeldung form without realizing the financial consequences. Many assume this is just a formality, but it directly leads to tax obligations in Germany. To avoid this:

• If you do not wish to pay church tax, leave the religion field blank or write “keine” (none) during Anmeldung.
• If you are unsure about your status, check with the Finanzamt before assuming you are exempt.
• Review your first payslip to see if Kirchensteuer is deducted, especially if you were unaware of the system before moving.
• If you change your religious views and wish to leave the church later, go through the official exit process rather than assuming that stopping attendance is enough.

For expats, understanding Kirchensteuer before arrival or registration can save money and prevent unexpected tax deductions. Since the church tax is deeply embedded in the German tax and legal system, avoiding mistakes from the start ensures smoother financial planning and tax compliance.

Key Takeaways

Church Tax (Kirchensteuer) in Germany is a mandatory tax for Catholic, Protestant (Evangelical), and Jewish community members, deducted 8% or 9% of income tax.

• The legal basis is Article 140 of the German Constitution, which allows religious organizations to collect taxes through the state.
• Expats and residents who declare a religious affiliation during Anmeldung (residence registration) are automatically enrolled in the church tax system.
• The tax is collected through payroll deductions for employees, while freelancers and self-employed individuals pay it through their annual income tax return.
• To opt-out, individuals must formally withdraw from the church (Kirchenaustritt) by submitting a declaration at the Amtsgericht (district court) or Bürgeramt and paying a fee of €10 to €50.
• Non-Christian religions like Islam, Hinduism, and Buddhism are generally not affected, as their communities rely on donations and membership fees instead of state-collected taxes.
• Criticism of Kirchensteuer includes concerns about religious freedom, privacy issues, and financial burden, while supporters argue that it funds churches, schools, and social services.
• Germany’s system is unique compared to other countries—France and the U.S. rely on donations, while Italy and Sweden have voluntary contribution models.
• Expats should check their religious status during Anmeldung and review their payslips to avoid unintended church tax deductions.
• Leaving the church may have social and religious consequences, such as losing access to church weddings, baptisms, and funerals and affecting employment in church-run institutions.

Frequently Asked Questions