No citation, just my anecdotal time working in the gastronomy sector as a student and that of several of my friends as well.
Seeing the owners at the end of the night carrying home buckets full of cash out of the restaurant that will never be seen in any tax declarations is a common sight, and will just be dumped into cars and real estate later.
This isn't restricted just to gastronomy and hospitality either. Lots of businesses deals in Germany are done on a handshake, with sums declared in the contract at, say 10k Euros, with the actual payment for the services being something like 50k Euros, meaning only 10k gets taxed, the rest is tax free for you. You get the point.
In case you're wondering why real este buying prices in Germany are so high and seem completely disconnected from the median wages, that's one of the reasons why. Lots of undeclared black money sloshing around the economy looking for a safe parking space.
>but it doesn't seem that tax fraud in Germany is particularly high
Meh, irrelevant. That statistics looks at offshore untaxed wealth. Most small business owners dealing in cash won't have accounts in Bermuda or Panama for that.
No citation, just my anecdotal time working in the gastronomy sector as a student and that of several of my friends as well.
Seeing the owners at the end of the night carrying home buckets full of cash out of the restaurant that will never be seen in any tax declarations is a common sight, and will just be dumped into cars and real estate later.
This isn't restricted just to gastronomy and hospitality either. Lots of businesses deals in Germany are done on a handshake, with sums declared in the contract at, say 10k Euros, with the actual payment for the services being something like 50k Euros, meaning only 10k gets taxed, the rest is tax free for you. You get the point.
In case you're wondering why real este buying prices in Germany are so high and seem completely disconnected from the median wages, that's one of the reasons why. Lots of undeclared black money sloshing around the economy looking for a safe parking space.
>but it doesn't seem that tax fraud in Germany is particularly high
Meh, irrelevant. That statistics looks at offshore untaxed wealth. Most small business owners dealing in cash won't have accounts in Bermuda or Panama for that.