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I am a citizen of one EU state studying in Germany and would like to start investing. As far as I am concerned, I am considered only "temporary living" in Germany. In this case, where would I have to declare taxes on my investments? I don't plan on staying on Germany for longer than needed to finish my education...

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  • What do you mean by “As far as I am concerned, I am considered only “temporary living“ in Germany.“? There is nothing especially temporary about your status as an EU citizen in Germany, the years you're spending there as a student even count on a par with years spent working towards establishing permanent residence rights under directive 2004/38/EC.
    – Relaxed
    Feb 3, 2022 at 23:33

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Neither the temporary nature of your status nor the fact you are a student or intend to leave the country in a few years are directly relevant to your tax obligations. If you live in Germany and generate income, it would generally be taxable there. There is a no generic exemption for foreign students in Germany and no internationally agreed principles, not even in the EU.

The only thing that may make a difference in some cases are tax treaties between Germany and other countries. If you still maintain a home in your country of citizenship and have assets there, it's possible that income from these assets would be taxed there instead of Germany. If several countries are involved (e.g. you have a permanent residence in a country that is not your country of citizenship), it only becomes more complicated.

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    There is also a minimum income limit. In most countries if you make less than a certain amount in the country you do not have to pay taxes there.
    – DJClayworth
    Jul 4, 2022 at 21:12
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Each country has rules for whether you are "resident for tax purposes". If you are resident then they expect you to pay taxes. If not then they don't. Whether you are resident usually depends on how long you have lived in the country, when you intend to leave, and possibly some other things. You need to read up on the rules the specific countries you are living in, and for the one you have moved from. Whether you think of yourself as "temporary" makes no difference to the rules. Note that being resident in one doesn't necessarily stop you also being resident in another.

If you are considered resident then you generally have to fill in a tax return for that country, and pay any taxes you owe. If your income is very small then that may not be necessary.

In the specific case of Germany you are considered "resident for tax purposes" if you spend more than six months consecutive months there.

Unless your course of study is very short you are probably going to be paying taxes in Germany. You may also have to pay tax in your home country.

Note that this is a very short summary and you absolutely must research your exact situation more.

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