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Atropos | 9 years ago

You need to differentiate between where your company has its "real seat" (= place of business activity) and your "legal seat" (=incorporated as GmbH or LLC or ...). If your office building is in Berlin and you employ a local team (your "real seat"), it does not matter if your company is a GmbH, a UK Limited or an Estonian e-company - you are still under German tax, employment, insolvency, consumer protection law...

If you have your "real seat" in Germany, in my view, it makes sense to go for GmbH, instead of registering in UK/Estonia, because the corporate law differences are not that big.

The question if you should decide to build a company in Germany is another discussion.

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sparkling|9 years ago

Forgive me if im wrong, but as long you don't receive a salary (or money transfers in general) from the Estonian company entity, you should not be paying any personal taxes in Germany since all the money remains in the company?

helge5|9 years ago

This is absolutely right, you don't have to pay personal taxes in Germany if the money remains in the company (it may be a little more difficult, but in essence this is correct).

The company however would have to pay company taxes in Germany.