My German Exit Tax: 13 Tax Advisors, 1.5 Years, 18.7k€ to leave the country

Commenters focused on the German "exit tax" and whether it’s unusually punitive or just standard practice. Some argued the rule is a normal enforcement of taxes on capital gains accrued while a person was tax resident: cc62cf4x said a deemed disposition makes sense, and toomuchtodo compared it to the U.S. exit-tax regime. Others, led by pu_pe and the original poster as described, called the German implementation harsh - citing an implied 13.75× earnings valuation and ~30% tax - and argued it creates a heavy deterrent to leaving or to entrepreneurship. dgellow suggested a GmbH & Co. KG holding might be an accepted workaround that avoids huge payouts, while slwvx and 4ndrewl expressed low sympathy for someone trying to avoid taxes to move abroad.

Opinion split over whether the tax is justified, avoidable, or harmful. leonidasrup invoked the law’s history (lex Horten) and compared effective exit-tax rates across countries, while mamonster and ShadowOfThePit contrasted cheap Swiss notary and registry fees to Germany’s costs. Arnt asked about reasonable valuation multiples and pu_pe replied that 3-6× EBITDA is typical for private deals and smaller firms attract lower multiples, implying Germany’s assumed valuation is unusually generous to tax authorities. Some commenters concluded the rule enforces fair collection of accrued gains; others insisted Germany’s approach and administration are excessive.