Moving abroad from Germany: the financial checklist

Where you are liable for tax

Germany taxes whoever has a residence or habitual abode here. Whoever deregisters, gives up the flat and spends fewer than 183 days a year in Germany becomes liable in the new country. Double taxation treaties govern which country taxes which income: employment usually in the country of work, rental income in the country of the property, German pensions depending on the treaty in Germany or the country of residence. Whoever keeps a flat in Germany often stays fully liable even if hardly using it; that is the most common trap.

The exit tax

Whoever holds at least one percent of a corporation, including their own GmbH, taxes the notional gain on departure even without a sale. Since 2022 that also applies within the EU with payment in instalments over seven years. Since 2025 fund holdings above €500,000 per fund fall under it too. Whoever holds stakes plans the move with a tax adviser, otherwise it gets expensive.

Pension and health insurance

The German state pension is paid worldwide, in full within the EU and treaty states. In some countries it is taxed in the country of residence; in others Germany stays competent, then with limited tax liability without the basic allowance, which hurts with small pensions; an application for unlimited liability helps if almost all income is German. Health insurance: in the EU via form S1 through the German insurer, outside usually private insurance in the destination or an international policy that gets expensive in old age. Whoever wants to return should keep a suspension option with German private health insurance.

Portfolio and bank

Many German brokers terminate accounts for residence outside the EU, some already within it. Ask the bank before the move and if necessary switch to a broker that serves foreign customers. After departure the withholding tax lapses; income is taxed in the new country, often more cheaply, sometimes not at all. German dividends keep their withholding tax. The current account in Germany can usually remain but is an indication of ties; on its own harmless.

Property

A let flat in Germany remains taxable in Germany, with limited liability and without the basic allowance. The sale after ten years remains tax-free. Whoever keeps the flat and uses it risks unlimited liability. In the destination: check transfer tax, notary costs and wealth tax; Spain and France have wealth taxes, Switzerland too, the Emirates none.

Countries compared

Portugal severely restricted the NHR regime for newcomers in 2024, Spain offers the Beckham rule with a 24 percent flat tax for arrivals with an employment contract, Italy a lump sum of €200,000 on foreign income for the wealthy and 7 percent for pensioners in the south, Greece 7 percent for pensioners and a 50 percent tax discount for arrivals, the Emirates no income tax, Switzerland lump-sum taxation by living expenses in some cantons, Thailand has taxed foreign income brought into the country since 2024. milinia’s country pages carry the details.