Taxes for Remote Workers Abroad with a German Employer
(Steuern für Remote-Arbeiter im Ausland mit deutschem Arbeitgeber)
A person working for a German company,
but living and working permanently outside Germany (e.g. from Turkey, Egypt, Morocco, etc.),
possibly as a permanent employee or as a freelancer.
The key question is:
Where are taxes paid?
The answer depends on your tax residence (steuerlicher Wohnsitz).
| Situation | Where do you pay tax? |
|---|---|
| You live permanently outside Germany (> 183 days per year) | Usually only in the country of residence |
| You still have an official address in Germany and only work temporarily from abroad | In Germany (at least partially taxable) |
To not be considered tax resident in Germany, generally all of the following must apply:
No official residence in Germany (kein Wohnsitz in Deutschland).
No habitual stay of more than 183 days per year in Germany.
The centre of your economic life must not be in Germany.
If you are not tax resident in Germany, your German employer should:
not withhold German Lohnsteuer (wage tax),
and you are responsible for:
declaring and paying tax in your country of residence, or
being employed via a local intermediary such as an Employer of Record (EoR), depending on the setup.
If your country of residence has a Double Taxation Agreement (Doppelbesteuerungsabkommen – DBA) with Germany (most countries do), then typically:
Tax is levied only in the country of residence,
and no tax is due in Germany,
as long as you do not have a permanent establishment or similar taxable presence in Germany.
| Point | Explanation |
|---|---|
| Do you have to file a tax return (Steuererklärung) in Germany? | No, if you are not tax resident and have no taxable presence there |
| Do you have to file a tax return in your country of residence? | Yes, this is usually mandatory |
| Are you responsible for social security contributions? | Yes, according to the rules of your country of residence and your contract |
| Must the German company withhold German taxes? | No, if you work entirely from abroad and are not tax resident in Germany |
Be careful with the following situations:
If you spend several months per year in Germany or work there part of the time,
→ you may become partially taxable in Germany.
If your address in Germany is still registered with the municipality,
→ you may be treated as German tax resident, even while working remotely abroad.
In some countries you may have to register as a freelancer / self-employed and issue invoices (e.g. Egypt, Turkey, Morocco).
| German term | Meaning in Arabic |
|---|---|
| Steuerlicher Wohnsitz | مقر الإقامة الضريبية |
| Lohnsteuer | ضريبة الراتب |
| Doppelbesteuerungsabkommen | اتفاقية تجنب الازدواج الضريبي |
| Steuererklärung | الإقرار الضريبي السنوي |
| Nicht unbeschränkt steuerpflichtig | غير خاضع للضريبة الكاملة في ألمانيا |
If you live and work entirely outside Germany, you usually pay tax only in your country of residence.
The German company generally does not have to withhold Lohnsteuer, if you are not tax resident in Germany.
Always check the DBA between Germany and your country of residence.
Having a registered address or long stays in Germany can change your tax status and create tax liability in Germany.
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 contact the competent authorities or a professional tax advisor for binding and up-to-date guidance.
