Kapitalertragsteuer
capital gains tax, withholding tax on investment income
noun ka-pi-TAL-er-traks-shtoy-er Rare
Usage Note
Kapitalertragsteuer is the 25% flat-rate withholding tax (Abgeltungsteuer) levied in Germany on interest, dividends, and capital gains. Banks deduct it automatically. It replaced the progressive income tax rate on investment income in 2009.
Examples
"Auf Zinserträge wird automatisch Kapitalertragsteuer einbehalten."
Natural Translation
Capital gains tax is automatically withheld on interest income.
Literal Translation
On interest-earnings is automatically capital-gains-tax withheld.
Related Words
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