Field help: Profits are determined according to

Select how the profit calculation for your self-employment will be carried out:

• Net income method (EÜR, sect. 4 para. 3 of the Income Tax Act (EStG)): The profit is determined by comparing income and expenses. This method is suitable for smaller companies.
• Accounting (sect. 4 para. 1 or 5 of the Income Tax Act (EStG)): Requires an inventory and the preparation of a balance sheet and a profit and loss statement at the end of the year.