Freiberufler or Gewerbe?

Take the 2-minute test to find out whether your activity counts as a liberal profession (§ 18 EStG) or a trade (§ 15 EStG) in Germany, and what that means for registration, trade tax, and bookkeeping.

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Question 1 of 6

What best describes your main activity?

I provide intellectual or qualified services (e.g. consulting, planning, design, healthcare, law)I buy and sell goods (trade, e-commerce, a shop)I manufacture products or sell my own products or software licensesI provide skilled-craft (Handwerk) servicesI broker for commission (e.g. real-estate agent, affiliate, sales)

All questions at a glance

Your activity

Answer 6 short questions about what you do.

What best describes your main activity?
- I provide intellectual or qualified services (e.g. consulting, planning, design, healthcare, law)
- I buy and sell goods (trade, e-commerce, a shop)
- I manufacture products or sell my own products or software licenses
- I provide skilled-craft (Handwerk) services
- I broker for commission (e.g. real-estate agent, affiliate, sales)
Do you practice a catalog profession or a similar profession?
Catalog professions (Katalogberufe) include: doctors, dentists, vets, alternative practitioners (Heilpraktiker), lawyers, notaries, tax advisors, auditors, engineers, architects, journalists, writers, translators, interpreters, scientists, teachers, educators.
- Yes, I practice one of these
- Not exactly, but something similar (e.g. IT consultant, designer, management consultant)
- No, none of these
Is your work primarily scientific, artistic, literary, teaching, or educational?
- Yes, primarily
- Partly
- No
Is your activity based on academic or comparable qualifications and primarily intellectual-creative?
The key test for “similar professions”: comparable training and independent, intellectual work.
- Yes
- No
Do you perform the core professional work yourself, in a leading and self-responsible capacity?
Under § 18 (1) no. 1 EStG you may employ professionally trained staff: as long as you remain leading and self-responsible (leitend und eigenverantwortlich) based on your own expertise.
- Yes, I do the core work myself
- I lead a team professionally and work on the substance too
- No, mostly non-professional staff; I only coordinate
Alongside this, do you also have commercial income (e.g. selling products next to consulting)?
For a GbR the contamination rule (Abfärberegelung, § 15 (3) no. 1 EStG) can apply: a commercial share above 3% or €24,500/year can make all income commercial.
- No, just one type of activity
- Yes, but the commercial part is small (under 3% / €24,500)
- Yes, both parts are significant

All possible results

Likely Freiberufler (liberal profession, § 18 EStG)

Your activity points to a liberal profession. Freiberufler need no trade registration, pay no trade tax (Gewerbesteuer), and aren't mandatory IHK members. You report income on Anlage S and calculate profit with the EÜR (cash-basis).

No trade registration (Gewerbeanmeldung) needed
No trade tax (Gewerbesteuer)
No mandatory IHK membership
Profit via EÜR, reported on Anlage S

Freiberufler are exempt from trade tax.

Your tax office (Finanzamt) makes the final call via the “Fragebogen zur steuerlichen Erfassung”. When in doubt, a binding ruling (verbindliche Auskunft) or a tax advisor helps. This test is guidance, not legal advice.

Borderline: have the Finanzamt confirm it

Your activity sits in a grey zone: e.g. as a “similar profession” (IT consultant, designer, management consultant) or a mix of liberal and commercial income. Whether it qualifies as freiberuflich is decided by the Finanzamt case by case, based on the intellectual-creative nature of your work and your qualifications.

The Finanzamt decides case by case
A binding ruling (verbindliche Auskunft) gives certainty up front
For a GbR: mind the contamination rule (§ 15 (3) no. 1 EStG; 3% / €24,500)
A tax advisor can secure the classification

Tip: settle the classification before you start. It applies retroactively.

This test is guidance, not legal advice. The final decision rests with the Finanzamt.

Likely Gewerbe (trade, § 15 EStG)

Your activity is primarily commercial. That is completely normal, and typical for trade, crafts, e-commerce, and many product businesses. You register a trade at the Gewerbeamt and report income on Anlage G. Norman handles bookkeeping, VAT, and the EÜR automatically.

Trade registration at the Gewerbeamt (approx. €20–50)
Trade tax only above €24,500 of trade profit (allowance; municipal rate typically 300–500%)
Mandatory IHK membership
Profit via EÜR (Anlage G); balance-sheet duty only above €800,000 revenue or €80,000 profit

Gewerbe is completely normal: Norman handles bookkeeping, VAT returns, and the EÜR.

Your Finanzamt makes the final call. This test is guidance, not legal advice.

Freiberufler vs. Gewerbe: the differences

The key tax and bureaucratic differences at a glance.

	Freiberufler	Gewerbe
Legal basis	§ 18 EStG	§ 15 EStG
Trade registration	Not required	Required (Gewerbeamt, approx. €20–50)
Trade tax (Gewerbesteuer)	Exempt	Above €24,500 trade profit (rate 300–500%)
IHK membership	None	Mandatory (fee-paying)
Tax return	Anlage S	Anlage G
Bookkeeping	EÜR	EÜR; balance sheet above €800,000 revenue / €80,000 profit
Who decides	Finanzamt (tax-registration questionnaire)	Finanzamt + Gewerbeamt

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How to tell which one you are

Six criteria that determine the classification.

Catalog profession?

Doctors, lawyers, tax advisors, engineers, architects, journalists, translators, scientists, teachers and other catalog professions (Katalogberufe) are automatically liberal professions (§ 18 (1) no. 1 EStG).

Scientific, artistic, literary, teaching or educational?

Anyone independently doing one of these is also freiberuflich, regardless of their specific job title.

Intellectual-creative + qualification?

“Similar professions” (e.g. IT consultant, designer, management consultant) are liberal if the work is primarily intellectual-creative and requires academic or comparable qualifications. The Finanzamt assesses case by case.

Leading and self-responsible?

Freiberufler may employ professionally trained staff, but must remain leading and self-responsible (leitend und eigenverantwortlich) based on their own expertise (§ 18 (1) no. 1 EStG).

Trade, manufacturing or craft?

Anyone who buys and sells goods, manufactures products, or provides skilled-craft services runs a trade (§ 15 EStG), including e-commerce.

Mixed activity & contamination rule

For a GbR, a commercial share above 3% or €24,500/year can make all income commercial (§ 15 (3) no. 1 EStG). Sole traders can keep the two activities separate.

How to register correctly

Three steps from classification to ongoing bookkeeping.

Classify your activity

Take the test above. In borderline cases, a binding ruling (verbindliche Auskunft) from the Finanzamt or a quick check with a tax advisor helps.

Register with the Finanzamt (and Gewerbeamt if needed)

Freiberufler: the tax-registration questionnaire (“Fragebogen zur steuerlichen Erfassung”) via ELSTER. You receive a tax number. Gewerbe: additionally register the trade at the Gewerbeamt (approx. €20–50).

Set up Norman

Whether Anlage S or Anlage G: Norman handles invoices, receipts, bank reconciliation, VAT returns, and the EÜR automatically. Bookkeeping and invoicing are free.

Still unsure? Take the test

In 2 minutes you'll know whether your activity is a liberal profession or a trade.

Start the test

FAQ

What's the difference between Freiberufler and Gewerbe?

Freiberufler practice a liberal profession under § 18 EStG (e.g. catalog professions like doctor, lawyer, engineer, or scientific, artistic, literary, teaching and educational work). Gewerbetreibende run a trade under § 15 EStG: trade, crafts, manufacturing, many e-commerce activities. The difference affects trade registration, trade tax, IHK membership, and the tax return (Anlage S vs. Anlage G).

Which professions count as Freiberufler (catalog professions)?

Catalog professions include doctors, dentists, vets, alternative practitioners (Heilpraktiker), lawyers, notaries, tax advisors, auditors, engineers, architects, journalists, writers, translators, interpreters, scientists, teachers, and educators. Beyond these, “similar professions” are assessed by the Finanzamt case by case.

Do Freiberufler pay trade tax (Gewerbesteuer)?

No. Freiberufler are exempt from trade tax. Gewerbetreibende pay trade tax only above €24,500 of trade profit (the allowance for individuals and partnerships); the municipal rate is usually 300–500%.

Do I need a trade registration (Gewerbeanmeldung)?

Only as a Gewerbetreibender. The trade registration is done at the Gewerbeamt and costs roughly €20–50 depending on the city. Freiberufler register only with the Finanzamt via the tax-registration questionnaire and need no trade registration.

As an IT consultant or programmer, am I Freiberufler or Gewerbe?

It depends on the specific activity. IT consultants often count among the “similar professions” and can be freiberuflich if the work is primarily intellectual-creative and requires comparable qualifications. Those who mainly sell products or software licenses are usually commercial. The Finanzamt decides case by case.

What is the contamination rule (Abfärberegelung)?

The contamination rule (§ 15 (3) no. 1 EStG) affects partnerships such as the GbR: even a small commercial share can make all income count as commercial. Exception (de-minimis threshold): if commercial revenue is under 3% of total revenue and under €24,500/year, the Freiberufler status is preserved.

Who decides whether I'm Freiberufler or Gewerbe?

The Finanzamt decides based on your answers in the tax-registration questionnaire. In borderline cases you can request a binding ruling (verbindliche Auskunft) up front or consult a tax advisor. This test is guidance, not legal advice.

Can I be both freiberuflich and commercial at the same time?

Yes. As a sole trader you can keep both activities separate and tax them separately (two profit calculations). For a GbR, take care because the contamination rule can apply. Norman records both areas cleanly separated.