Can I also pay trade tax in installments?
June 11, 2022 | 40,00 EUR | answered by Eva Heuser
Dear Tax Advisor,
I am reaching out to you as a business owner with a question regarding trade tax. Due to the current economic situation, I have suffered losses in my business and am having difficulties paying the trade tax in one lump sum.
My company has made a profit this year which requires me to pay trade tax. However, due to my financial situation, it is not possible for me to pay the amount in one go. I am concerned that there may be sanctions if I do not pay, and therefore would like to know if it is possible to pay the trade tax in installments.
I am aware that timely payment of taxes is important and I want to fulfill my obligations to the tax office. At the same time, I rely on financial flexibility to continue running my business successfully.
Could you please provide me with information on whether it is possible to pay the trade tax in installments? If so, what steps are necessary and what consequences could arise from this?
I thank you in advance for your assistance and look forward to your response.
Sincerely,
Dietrich Lange
Dear Mr. Lange,
Thank you for your inquiry regarding the payment of the trade tax in installments. It is understandable that due to the current economic situation you may have difficulties paying the amount in one go. I would like to assist you in this matter.
In principle, it is possible to pay the trade tax in installments. However, you must submit a corresponding application to the tax office. In this application, you should detail your financial situation and propose a payment plan. It is important that you propose realistic installment amounts that you can actually afford.
The tax office will review your application and decide whether to approve the installment plan. If your request is granted, the tax office will determine the amount and timing of the installments you must pay. It is important that you stick to the agreed installments to avoid any possible consequences.
Failure to pay the trade tax may result in various sanctions, such as late payment interest, reminder fees, or even enforcement measures. Therefore, it is advisable to contact the tax office early and apply for an installment plan to avoid any consequences.
I recommend contacting your local tax office and submitting an application for installment payments. I am also available to assist you personally in this process and clarify any further questions.
I hope that this information has been helpful to you and I am available for any further questions.
Sincerely,
Eva Heuser
