Because Germans love their paperwork and fees, everyone is required to register a business when making a profit (and sometimes even for a "business" that is technically a hobby and loses money). I forgot to register my huge Manifold Partner business with the local authorities in Germany, or I may have forgotten that I closed my old business (due to fees). Choose one, I'm dumb and don't care.
Regardless, I've now registered a business, but with the warning that I may receive a fine. Some friends of mine have had a similar issue in the past and were fined around USD 36 (though the fine could theoretically be up to USD 1,050, but that’s highly unlikely in a low-budget case like mine). Others didn’t have to pay a fine at all. If it's below USD 60, I'll probably just pay the fine without trying to talk my way out of it, as it wouldn't be worth my time.
To be clear, this issue has nothing to do with taxes . It’s just a registration formality to ensure the government and useless organizations can collect more money from you. Taxes, fees, etc., must be paid regardless.
This question will resolve to Yes only if I pay a fine to the local Office of Public Order. If I manage to talk my way out of it or they don't send me a letter by EOY 2025, this question will resolve to No. I might extend the closing time if it's still an ongoing issue. This question does not include any tax-related fines or other fines unrelated to this issue (like parking fines) issued by the Office of Public Order.
I won't bet in this market. If youve any questions or need updates, feel free to ask.
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@TheAllMemeingEye Just to be clear, the registration fee is paid to the local government of the city and usually fixed amounts arent called tax since these are a specified amount for a "service" in this case by the city.
To answer your overall question, here is ChatGPT's answer (which is overall correct and I'm too lazy, but there is a differnce between the German government and the local city and the state):
Yes, the German government collects money that isn't classified as a "tax." While taxes are the primary form of revenue for the government, there are other ways it generates income, such as:
Fees and Charges: These are payments for specific services or actions provided by the government, like administrative fees for passport applications, licensing fees, and court fees. These are typically called "Gebühren" (fees) or "Beiträge" (contributions).
Contributions: These include mandatory payments that aren't considered taxes but are required for certain social benefits. A key example is the social security contributions (e.g., for pensions, health insurance, unemployment insurance, etc.), which are paid by both employees and employers. Though these are often required by law, they are technically not taxes since they directly fund specific services or benefits.
Levies: The government can also impose various levies for specific purposes. For example, the solidarity surcharge (Solidaritätszuschlag), originally introduced to finance the reunification of Germany, is sometimes considered a type of levy rather than a tax.
Fines and Penalties: These are payments collected from individuals or entities that break laws or regulations. Examples include traffic fines or penalties for violating environmental regulations. Although they can be a significant source of revenue, they are not considered taxes, since they are related to enforcement of laws.
So while taxes are the primary means through which the government collects revenue, these other forms of income—fees, contributions, levies, and fines—also play a role in the government's finances.