Reselling in Germany: When You Need to Register a Business
Selling online in Germany? Here's when it stays a private sale, when you need to register a business, and what happens if you ignore it.
This article is general information, not legal or tax advice. When in doubt, speak to a Steuerberater.
Private Sale vs. Commercial Activity
Selling your own used items — clothes you've worn, things from your home — is generally a private sale. No registration needed, no tax owed. That's the baseline.
It becomes commercial when you start buying things specifically to resell them. The law doesn't care about a fixed number of items or a euro threshold. It looks at two things:
- Nachhaltigkeit — are you doing it repeatedly and systematically?
- Gewinnerzielungsabsicht — is making profit the goal?
If you're regularly sourcing items to flip, you're commercially active — even if you're making only a few hundred euros a month.
When to Register a Business (Gewerbe)
Technically: from day one of commercial activity. You register at your local Gewerbeamt (part of the city administration). Cost is typically €15–65 depending on your city.
When you register, the tax office (Finanzamt) is automatically notified. They'll send you a questionnaire (Fragebogen zur steuerlichen Erfassung) to set up your tax situation.
Not registering when you should is an Ordnungswidrigkeit — a regulatory offence. Fine: up to €1,000.
DAC7: Platforms Report You Automatically
Since January 1, 2023, EU law (DAC7 directive) requires platforms like Vinted, eBay, and Kleinanzeigen to automatically report sellers to tax authorities if:
- you complete more than 30 transactions per year, OR
- your total revenue exceeds €2,000 per year
This data goes directly to the Bundeszentralamt für Steuern. Your Finanzamt receives it. There is no "flying under the radar" anymore once you hit these numbers.
Tax Thresholds to Know
Kleinunternehmerregelung (small business rule): If your annual turnover is below €25,000 (from 2025), you don't charge VAT and don't file VAT returns. This is the simplest setup for most small resellers. You still pay income tax on profits.
Einkommensteuer: The basic tax-free allowance (Grundfreibetrag) is €12,096 per year (2025). Below this total income, you owe no income tax. Above it, you pay based on your tax bracket.
Gewerbesteuer: Only applies above €24,500 profit per year for sole traders. Most small resellers never reach this.
What Actually Goes Wrong
Most problems don't start with a knock on the door. They start with a letter from the Finanzamt — triggered by DAC7 data, a tip, or a routine check.
If they find unreported commercial income, they can go back up to 10 years for suspected tax evasion. You'll owe the back taxes, plus interest (currently 1.8% per year), plus potential penalties.
Steuerhinterziehung (tax evasion) is a criminal offence in Germany — up to 5 years in prison or a fine. The threshold for criminal proceedings is low.
The Practical Reality for Small Resellers
If you're flipping 5–10 items a month and making a few hundred euros profit, the actual tax burden under Kleinunternehmerregelung is often minimal or zero — especially if your total income stays below the Grundfreibetrag.
The real risk isn't the tax itself. It's the unregistered activity. Register early, keep records, and the numbers usually work out fine. Ignore it and get caught years later — that's when it gets expensive.
Track every purchase, sale, and cost from day one. ResellScope gives you the data you need if the Finanzamt ever asks.