Car tax in Germany (Kfz-Steuer)
Kraftfahrzeugsteuer
The Kfz-Steuer (motor vehicle tax) is an annual tax charged on car ownership in Germany – not just on usage.
You must pay it for any vehicle that is registered in your name, even if you do not actually drive it.
The tax is collected not by the tax office (Finanzamt) but by the German customs authority (Zoll / Zollamt).
The amount of Kfz-Steuer depends on several factors:
| Factor | Effect |
|---|---|
| Type of fuel (petrol / diesel / electric) | Different tax rates apply |
| Engine size (Hubraum in cm³) | Each 100 cm³ is taxed at a fixed rate |
| CO₂ emissions (CO₂ in g/km) | Each gram of CO₂ above a threshold adds to the tax |
| Date of first registration | Newer registrations are subject to stricter rules |
| Type of vehicle (private, commercial, electric) | Electric cars benefit from tax exemptions or reductions |
Petrol car example
Engine size: 1,600 cm³
CO₂ emissions: 120 g/km
First registration: after 01.07.2009
Calculation:
Engine component:
€2.00 per 100 cm³ → 1,600 cm³ = 16 × €2.00 = €32
CO₂ component:
First 95 g CO₂ are tax-free.
120 g – 95 g = 25 g
25 g × €2.00 = €50
Total annual Kfz-Steuer = €32 + €50 = €82
| Type | Kfz-Steuer |
|---|---|
| Registered for the first time before 31.12.2025 | Full exemption from Kfz-Steuer for 10 years |
| First registration after 2026 | Gradual reduction / preferential treatment, phasing out by around 2030 |
For commercial and heavy vehicles, special rules apply:
Tax is mainly based on gross vehicle weight (zGG) and the number of axles.
The tax varies considerably depending on the usage:
goods transport (trucks)
trailers, semi-trailers
other special-purpose vehicles
After the vehicle is registered, you receive a payment notice from the Zoll by post.
Kfz-Steuer is payable once a year in advance for a period of 12 months.
If the tax is not paid, the vehicle cannot be registered or legally used on public roads; it may be deregistered.
Usually by SEPA direct debit (SEPA-Lastschrift) from your bank account.
When registering the vehicle, you must sign a SEPA mandate so that the customs authority can automatically collect the tax.
| Situation | Is Kfz-Steuer deductible? |
|---|---|
| Privately used car | Generally no |
| Car used mainly for business / work | Yes, it can be treated as a business expense or work-related cost |
| German term | Meaning in Arabic |
|---|---|
| Kfz-Steuer | ضريبة السيارة |
| Hubraum | حجم المحرك (بالسنتيمتر المكعب) |
| CO₂-Ausstoß | انبعاث ثاني أكسيد الكربون |
| Elektrofahrzeug | مركبة كهربائية |
| Zollamt | مكتب الجمارك الألماني |
| SEPA-Lastschrift | تفويض بنكي للخصم المباشر |
For an accurate calculation, you can use the official car tax calculators, e.g.:
kfz-steuerrechner.de
The editorial team of the website strives to provide accurate information based on thorough research and multiple sources. Nevertheless, errors may occur or some information may be incomplete or not fully verified. Please treat the information in this article as an initial reference only and always consult the competent authorities for final and legally binding guidance.
