{"id":3267,"date":"2022-06-01T16:01:03","date_gmt":"2022-06-01T14:01:03","guid":{"rendered":"https:\/\/www.accountable.de\/?p=3267"},"modified":"2023-06-15T14:38:18","modified_gmt":"2023-06-15T12:38:18","slug":"bzst-and-finanzamt","status":"publish","type":"post","link":"https:\/\/www.accountable.de\/en\/blog\/bzst-and-finanzamt\/","title":{"rendered":"Bundeszentralamt f\u00fcr Steuern (BZSt) and Finanzamt: What&#8217;s the difference?"},"content":{"rendered":"\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">Getting started as a freelancer in Germany can be quite complicated &#8211; and even more so if you don\u2019t know which authority to talk to, especially when it comes to taxes. That&#8217;s why we&#8217;ll explain the difference between the Federal Central Tax Office (<\/span><i><span style=\"font-weight: 400;\">Bundeszentralamt f\u00fcr Steuer<\/span><\/i><span style=\"font-weight: 400;\">n) and the Tax Office (<\/span><i><span style=\"font-weight: 400;\">Finanzamt<\/span><\/i><span style=\"font-weight: 400;\">), and which authority is responsible for which tasks.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><b>Content<\/b><\/p>\n\n\n\n<ul class=\"wp-block-list list-disc list-outside ml-0 mb-4 space-y-2\">\n<li class=\"font-inter text-base text-black\"><a class=\"font-inter text-purple underline underline-offset-1\" href=\"#1\"><span style=\"font-weight: 400;\">What does the Federal Central Tax Office do?<\/span><\/a><\/li>\n\n\n\n<li class=\"font-inter text-base text-black\"><a class=\"font-inter text-purple underline underline-offset-1\" href=\"#2\"><span style=\"font-weight: 400;\">What does the Tax Office do?<\/span><\/a><\/li>\n\n\n\n<li class=\"font-inter text-base text-black\"><a class=\"font-inter text-purple underline underline-offset-1\" href=\"#3\"><span style=\"font-weight: 400;\">How the two authorities differ<\/span><\/a><\/li>\n<\/ul>\n\n\n\n<h2 class=\"wp-block-heading font-degular scroll-mt-32\" id=\"1\"><b>What does the Federal Central Tax Office do?<\/b><\/h2>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">The former Federal Tax Office was dissolved in 2006 and divided into three new authorities. One of them is the Federal Central Tax Office, or <\/span><i><span style=\"font-weight: 400;\">Bundeszentralamt f\u00fcr Steuern<\/span><\/i><span style=\"font-weight: 400;\">, which is also often abbreviated as BZSt.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">The BZSt is directly subordinate to the Federal Ministry of Finance and therefore also receives its tasks from the ministry. These tasks are also laid down in \u00a7 5 of the Financial Administration Act. The authority has its headquarters in Bonn and three additional offices in Berlin, Saarlouis and Schwedt an der Oder.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">So far, so good. But if you take a closer look at the specific tasks of the BZSt, things get a bit more complicated.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">According to its website, the BZSt is responsible for central tax tasks with national and international relevance. This includes the administration of federal taxes such as insurance taxes or the execution of the tax withholding procedure, i.e. the transfer of the wage tax amount for employees by employers.&nbsp;<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">However, not only the administration of taxes, but also the collection and administration of data is an essential task of the BZSt. For example, the authority collects all data that can be assigned to a taxpayer in connection with the tax identification number.&nbsp;<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">\u27a1\ufe0f <\/span><a class=\"font-inter text-purple underline underline-offset-1\" href=\"https:\/\/www.accountable.de\/en\/blog\/freelancing-in-germany-heres-what-you-need-to-know-about-tax-numbers\/\"><span style=\"font-weight: 400;\">Freelancing in Germany: Here\u2019s what you need to know about tax numbers<\/span><\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading font-degular scroll-mt-32\" id=\"2\"><b>What does the tax office do?<\/b><\/h2>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">The tax office, on the other hand, is primarily responsible for assessing and collecting taxes. This means that for every taxable person in Germany, it checks how much tax has to be paid, issues an individual tax assessment and, if the tax is not paid, also initiates a procedure for collecting it.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">This concerns quite different types of taxes, because in addition to the regular income tax, the tax office is also responsible, among other things, for the determination and collection of VAT.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">\ud83d\udca1<\/span><b>Tip from Accountable:<\/b><span style=\"font-weight: 400;\"> Need help with your tax return? Accountable can help! <\/span><a class=\"font-inter text-purple underline underline-offset-1\" href=\"https:\/\/www.accountable.de\/en\/\"><span style=\"font-weight: 400;\">Download our free app now<\/span><\/a><span style=\"font-weight: 400;\"> and streamline your accounting.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">Since there are over 81 million people living in Germany, there are also a lot of tax offices across the country that are tasked with managing people&#8217;s taxes depending on where they live. So if you live in Berlin, for example, you will also receive your tax notice from the local office and communicate with a local official if you have any questions.&nbsp;<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">\ud83d\udca1<\/span><b>Tip from Accountable:<\/b><span style=\"font-weight: 400;\"> Did you get a letter from the tax office that you don\u2019t understand? <a class=\"font-inter text-purple underline underline-offset-1\" href=\"https:\/\/www.accountable.de\/en\/blog\/speaking-finanzamt-explaining-the-most-common-letters-youll-get-from-the-german-tax-office\/\">We have listed the most common letters from the tax office here.<\/a><\/span> We also have a free AI tool that translates and explains the letters for you! <a class=\"font-inter text-purple underline underline-offset-1\" href=\"https:\/\/www.finanzamt-brief.de\/en\">Test it now!<\/a><\/p>\n\n\n\n<h2 class=\"wp-block-heading font-degular scroll-mt-32\" id=\"3\"><b>This is the difference between the two authorities<\/b><\/h2>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">The Federal Central Tax Office is more of a background agency for taxpayers. This means that you will probably not have any direct contact with the BZSt. Instead, the tax office is your direct point of contact for any tax-related questions, because this is where your tax assessment is issued and your tax burden is calculated.&nbsp;<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">The only exception is the allocation of the tax identification number, because this is not actually allocated by the tax office, but by the Federal Central Tax Office. So if you receive a tax ID for the first time or want to have your number sent to you again, this is done via the BZSt.<\/span><\/p>\n\n\n\n<p class=\"font-inter text-base leading-relaxed mb-4 first-of-type:mt-0 text-black wp-block-paragraph\"><span style=\"font-weight: 400;\">\u27a1\ufe0f Don\u2019t know your tax ID? <\/span><a class=\"font-inter text-purple underline underline-offset-1\" href=\"https:\/\/www.bzst.de\/SiteGlobals\/Kontaktformulare\/DE\/Steuerliche_IDNr\/Mitteilung_IdNr\/mitteilung_IdNr_node.html\"><span style=\"font-weight: 400;\">You can retrieve it here.<\/span><\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Getting started as a freelancer in Germany can be quite complicated &#8211; and even more so if you don\u2019t know which authority to talk to, especially when it comes to taxes. That&#8217;s why we&#8217;ll explain the difference between the Federal Central Tax Office (Bundeszentralamt f\u00fcr Steuern) and the Tax Office (Finanzamt), and which authority is [&hellip;]<\/p>\n","protected":false},"author":14,"featured_media":3265,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"_themeisle_gutenberg_block_has_review":false,"footnotes":""},"categories":[27,185],"tags":[123],"class_list":["post-3267","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-important-things-to-know","category-manage-your-taxes","tag-finanzamt-en"],"acf":[],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v28.8 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>BZSt and Finanzamt: What&#039;s the difference? | Accountable<\/title>\n<meta name=\"description\" content=\"Find out the difference between the Federal Central Tax Office and the Tax Office in Germany, and which authority is responsible for which tasks.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.accountable.de\/en\/blog\/bzst-and-finanzamt\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"BZSt and Finanzamt: What&#039;s the difference? 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