Wegzugsteuer 2026: how high, when due, how plannable

What is the Wegzugsteuer in Germany?

The Wegzugsteuer under § 6 Aussensteuergesetz deems a sale of shares at fair market value (gemeiner Wert) for any person with unlimited German tax liability who holds at least 1 % in a corporation and carries out the Wegzug. The gain calculated on this basis is taxed as a real capital gain under § 17 EStG — even though no actual sale has occurred.

The trigger is the ending of unlimited German tax liability. In practice this happens when the taxpayer gives up their Wohnsitz (residence under § 8 AO) and their gewoehnlicher Aufenthalt (habitual abode under § 9 AO) in Germany. A gratuitous transfer of the shares to a person resident abroad also triggers the tax (§ 6 Abs. 1 Satz 1 Nr. 2 AStG).

So anyone who held 1.5 percent in a family GmbH and reduced their stake to 0.8 percent shortly before the Wegzug still falls within the scope. The 1 % threshold applies if it was met at any point within the five years preceding the Wegzug.

How high is the Wegzugsteuer?

The amount of the Wegzugsteuer depends on three variables: the fair market value of the shareholding, the original acquisition cost and the individual tax rate. The calculation is:

Fair market value of the shares minus historical acquisition cost = deemed capital gain. 60 % of this gain is subject to ordinary income tax (Teileinkuenfteverfahren, § 3 Nr. 40 EStG) — at the top tax rate of 45 % plus solidarity surcharge that is effectively around 28.5 % of the entire gain.

Worked example: GmbH shareholder with a 10 % stake

Acquisition cost EUR 50,000, fair market value at the Wegzug EUR 2,000,000. Deemed gain: EUR 1,950,000. 60 % of that taxable = EUR 1,170,000. At the top tax rate, approximately EUR 555,000 Wegzugsteuer becomes due — immediately, without a single cent having been received.

In my practice I frequently see clients assume that only a fraction is payable because no sale has happened. In reality it does not work like that. The tax office accepts the deemed valuation without discussion.

Who is affected by the Wegzugsteuer?

Three groups of people are regularly affected:

Private individuals without holdings of at least 1 % are NOT affected. ETFs, equity portfolios with under 1 % in a single company, bonds, real estate or cash do not trigger Wegzugsteuer — even though this misconception is widespread.

The Wegzugsteuer therefore targets entrepreneurs and shareholders specifically. Anyone leaving as a pure investor has other tax topics (sale of shares from private assets, withholding tax in the destination country), but no § 6 AStG problem.

Step by step: planning the Wegzug in 6 stages

In advisory practice I typically work through this sequence:

1. Inventory of shareholdings. All corporate stakes, including former ones from the last five years, are recorded. Indirect participations through pool structures also count.
2. Valuation of the shares. The fair market value is determined by an expert report — typically under IDW S 1 or with the simplified income-capitalisation method. Anyone with clean documentation has the better cards in a dispute.
3. Test structural measures. 5 to 7 years before the Wegzug there is time to restructure the assets — Familienpool, Holding (German tax-optimised holding company structure), trust structures, Schenkung (lifetime gift). Each of these options needs lead time.
4. Analyse the destination country for tax purposes. Switzerland, Portugal, Spain, USA — each country has its own rules (DBA tie-breaker, RNH reform Portugal, lump-sum taxation Switzerland). The Rueckkehrerregelung only makes sense if the destination country is compatible.
5. Liquidity planning. The tax is assessed immediately. Anyone who cannot provide a bank guarantee has to pay. Securities, seven-year instalments or a return strategy must be in place before the Wegzug.
6. Carry out the Wegzug operationally. Deregistration of residence, deregistration of business, new residence with tenancy or purchase agreement — all steps have to be documented cleanly, otherwise the residence remains legally in Germany.

Anyone who starts all six stages at least three years before the planned Wegzug still has every structuring option. Anyone calling with twelve months' lead time is limited to damage control.

Avoiding the Wegzugsteuer — the three levers

First: the Rueckkehrerregelung. § 6 Abs. 3 AStG causes the tax to fall away retrospectively if the taxpayer becomes subject to unlimited tax liability again within seven years. Combined with the extension option, up to twelve years are possible. So anyone planning a temporary stay abroad (sabbatical, foreign assignment, trial period) can put the tax "on ice".

Second: structural change before the Wegzug. Anyone who contributes their GmbH shares into a Holding or a Familienpool and transfers them to a person resident in Germany before the Wegzug — for example through a Schenkung (lifetime gift) to the next generation — no longer falls under § 6 AStG, because the shares are then no longer in their estate.

Third: Wegzug to a DBA-friendly country with a tie-breaker clause. Certain double taxation treaties allow the Wegzugsbesteuerung (exit taxation under § 6 AStG when relocating abroad with substantial shareholdings) to be shifted to the destination country or reduced — Switzerland and Austria are classic cases.

In practice I usually combine all three levers. A typical client with EUR 5 m in shares reduces their tax burden through clean preparation from a theoretical EUR 1.4 m to EUR 200,000 to 400,000 — or avoids it entirely if return is realistic.

Stundung and instalments since 2022

Before the ATAD reform of 2022 the rule was: a Wegzug to an EU or EEA state led to an interest-free open-ended Stundung of the Wegzugsteuer as long as tax liability continued there. This special regime has been abolished without replacement.

Today there is a uniform rule for all Wegzuege — EU country or third state alike — allowing payment in seven equal annual instalments (§ 6 Abs. 4 AStG). The conditions are:

• Application to the competent tax office
• Security (bank guarantee, pledge of the shares, mortgage)
• Interest-free deferral per instalment (no suspension interest)
• Acceleration on an actual sale, a further Wegzug or death

The reason for the reform lies in the EU's ATAD directive (Directive 2016/1164/EU, "Anti Tax Avoidance Directive"). Germany implemented it late and took the opportunity to scrap the historically grown privileges for EU/EEA relocations. The federal finance ministry argues with European-law equal treatment; the tax consequence is felt all the same.

Country comparison: where the Wegzug is plannable

The choice of destination country is decisive. Anyone moving from Germany to Switzerland can often regulate their ongoing income favourably with lump-sum taxation. Anyone moving to Portugal and relying on RNH status should examine the 2024 reform — the status is no longer automatically available.

Wegzugsteuer and professional athletes

Professional athletes often have their own image-rights GmbH and are therefore shareholders within the scope of § 6 AStG. The Wegzug of a tennis pro to Monaco or a football pro to Switzerland regularly triggers Wegzugsteuer — and in dimensions that can consume the ongoing career income.

The solution usually lies in structures put in place at the start of a career. Anyone who sets up a holding structure at age 25 and transfers shares in tranches has very different options at career's end than someone who moves to Monaco spontaneously at 32.

More on this in the spoke article on professional athletes and the Wegzugsteuer.

Frequently asked questions

When is the Wegzugsteuer triggered?

The Wegzugsteuer is triggered as soon as unlimited tax liability in Germany ends — typically by giving up the Wohnsitz and the gewoehnlicher Aufenthalt. The tax is assessed and falls due immediately with the Wegzug.

How high is the Wegzugsteuer in Germany?

The Wegzugsteuer effectively amounts to around 28.5 percent of the deemed capital gain (60 percent Teileinkuenfteverfahren at a 45 percent top tax rate plus solidarity surcharge). On a shareholding with EUR 2 million in value appreciation that would be approximately EUR 555,000.

Who has to pay Wegzugsteuer?

Wegzugsteuer affects persons with at least 1 percent participation in a corporation (GmbH, AG, foreign corporation) who relocate their residence away from Germany. Pure private investors without 1 percent stakes are not affected.

What did the ATAD reform of 2022 change?

The interest-free open-ended Stundung for EU/EEA relocations has been abolished without replacement. Instead there is a seven-year instalment plan with a security — uniformly for all Wegzuege, regardless of EU or third state.

How does the Rueckkehrerregelung work?

Anyone who becomes subject to unlimited tax liability again within seven years (extendable to twelve years) after the Wegzug can have the Wegzugsteuer cancelled retrospectively (§ 6 Abs. 3 AStG). The condition is a credible intention to return from the outset and no sale of the shares abroad.

Avoiding the Wegzugsteuer — is that legal?

Three legal routes: (1) structural change before the Wegzug (Schenkung to a person resident in Germany, Holding restructuring), (2) Rueckkehrerregelung in case of a temporary stay abroad, (3) Wegzug to a DBA-friendly country with a tie-breaker. Anyone combining all three can typically halve the burden or avoid it entirely.

How long does Wegzug planning take?

3 to 5 years of lead time is realistic. The valuation of the shares takes 6 to 12 months, structural measures such as setting up a Holding 1 to 2 years, Schenkung strategies within the 10-year period under § 14 ErbStG (gift aggregation rule that resets the Freibetrag every ten years) need corresponding time. Anyone arriving with 12 months' lead time has reduced options.

Deeper detail answers

• Avoiding the Wegzugsteuer — 7 strategies for a plannable Wegzug
• Wegzugsteuer for private individuals — when it really applies
• Wegzugsteuer for sole traders and the Betriebsstaette
• Professional athletes and the Wegzugsteuer — Monaco, Switzerland, image GmbH
• Wegzugsbesteuerung § 6 AStG 2026: deferral and return in detail
• Topic hub Wegzugsteuer

Lead magnet: structuring the Wegzug

• Erbschaftsteuer calculator — Quick overview of asset valuation and tax burden before strategic Wegzug planning.
• Succession checklist — Structured lead-time plan: which steps have to be in place 3 to 5 years before the Wegzug.
• Arrange a first meeting — Individual structuring of your Wegzug strategy.

Authority sources

• § 6 AStG (Aussensteuergesetz, Wegzugsbesteuerung)
• § 17 EStG (sale of shares)
• § 3 Nr. 40 EStG (Teileinkuenfteverfahren)
• ATAD directive 2016/1164/EU
• BFH judgment of 17 December 2014 — I R 7/14 (constitutionality of the Wegzugsbesteuerung)