Freistellung

Ideally, you should obtain your Freistellung before starting any construction work in Germany. If you manage to get it before your first invoice is paid, you won’t lose 15% of your earnings. However, it’s quite common for self-employed workers to apply for a Freistellung only after they’ve already lost those 15%. Keep in mind that a Freistellung must be valid at the time the invoice is paid, not when it is issued. This means it’s also possible to start working in Germany while applying for the Freistellung at the same time. The good news is that once you obtain the certificate, you can request a refund of the construction withholding tax that was already deducted. Also remember that the Freistellung has a limited validity period and must be renewed once it expires.

As mentioned earlier, the construction withholding tax — known as the Bauabzugsteuer — can, in some cases, be reclaimed. You can apply for a refund only after the end of the calendar year in which the tax was withheld or paid. For example, if you did not have a Freistellung for a certain period in 2025 and your clients deducted 15% from your payments, you can apply for a refund of that amount starting from January 1, 2026.

Even with a Freistellung, your obligations in Germany do not necessarily end. If you perform a regulated activity (one that requires professional training or experience), you need a certificate from the German Chamber of Crafts – Handwerkskammer. If you send your employees to Germany as a company, it is essential to register them with the customs office – Zollamt and with the German construction holiday fund – SOKA BAU (if you are carrying out construction work).

Before applying for a Freistellung — especially if it’s your first time — you also need to obtain a German tax number (Steuernummer). To do this, you will primarily need: a scan of your ID card, a certificate of tax residency, your trade license or extract from the commercial register, and, depending on your type of business, possibly additional documents. For Romanian business entities (s.r.o. and self-employed individuals), the Steuernummer is issued by the German tax office in Chemnitz Süd.

1. Fill out and submit the short online form.
2. Complete the application and attach the required documents.
3. We will obtain your German tax number (Steuernummer) if you don’t have one.
4. Wait for your Freistellung to be successfully processed.
5. We are happy to provide you with individual consultation. 

Looking for the Freistellung form? You can complete your application easily in our easy online app. It’s extremely simple and intuitive — no printer or long paperwork required. Plus, a dedicated product specialist will assist you with the entire process free of charge.

Read about Peter’s experience obtaining a Freistellung online through our company: “Absolutely awesome! You pay, submit the documents, and don’t have to worry about anything. Very friendly staff, and you can see they really know what they’re doing. Thank you!” Peter, the pleasure is ours — thank you! Do you want to get your Freistellung problem-free too? Start HERE.