Steuermessbetrag

Steuermessbetrag is in German tax law the tax base used to compute the Gewerbesteuer, the local trade tax. It represents the amount that municipalities multiply by their local rate (Hebesatz) to determine the tax due. The term is commonly used in the form Gewerbesteuermessbetrag and arises from the base of Gewerbeertrag after the statutory additions and deductions prescribed by the Gewerbesteuergesetz.

Calculation and components: The process starts with the Gewerbeertrag, the earnings from business operations as assessed for trade tax purposes. This base is adjusted by statutory Hinzurechnungen (additions) and Kürzungen (deductions). The resulting amount defines the Steuermessbetrag by applying the Steuermesszahl of 3.5 percent. In formula terms: Steuermessbetrag = adjusted Gewerbeertrag × 0.035.

Application to tax liability: The actual Gewerbesteuer payable is then determined by applying the municipality’s Hebesatz (a local multiplier expressed as a percentage) to the Steuermessbetrag and dividing by 100. In practice: Gewerbesteuer = Steuermessbetrag × Hebesatz / 100. The Hebesatz varies by municipality and typically lies well above 100%.

Significance: The Steuermessbetrag is a standardized reference value that enables municipalities to calculate their local tax burden while remaining anchored to a uniform base rate (3.5%). It is applicable to corporations, partnerships with Gewerbe, and other entities subject to Gewerbesteuer, and is distinct from other tax bases such as income or corporate taxes.