(2023) Who is subject to unlimited tax liability?

Fully liable to tax under §1 EStG are:

• individuals who have a residence or their usual place of abode in Germany, and
• German nationals abroad who are paid from public funds. This includes, for example, members of a German embassy abroad.

While the second point is clear, the first point needs to be examined more closely:

• Individuals are basically all people, regardless of age.
• A person has a "residence" where they live (§8 AO). It does not matter whether it is a suburban villa or just a furnished room rented as a lodger. A taxpayer can also have multiple residences, for example in Germany and abroad.

• The term "usual place of abode" is used when someone stays in Germany for at least six consecutive months (§9 AO). Short interruptions during this period are possible.