Limits of transition from EÜR to Bilanz in Germany (2020-2025)

Germany sets specific turnover and profit thresholds that determine whether you must switch from simplified accounting (EÜR) to double-entry bookkeeping with a balance sheet (Bilanz).

In the past five years, the thresholds changed as follows:

From 1 January 2024, under the “Wachstumschancengesetz”, the thresholds were raised to:

• €800,000 turnover per year

• €80,000 profit per year

Important notes:

• The obligation to keep a balance sheet arises once any one of the thresholds is exceeded.

• The switch to balance-sheet accounting applies only after written notification from the tax office and for the tax year following the year of exceedance.

• Freelancers (e.g. doctors, lawyers) are exempt from full bookkeeping regardless of turnover and profit.