• Germany edition
 
French more honest taxpayers than Germans
Photo: DPA

French more honest taxpayers than Germans

Published: 08 Feb 2013 14:07 GMT+01:00
Updated: 08 Feb 2013 14:07 GMT+01:00

According to the annual survey by German economic institute IAW, the black market in France represented 9.9 percent of the country's GDP.

That compares favourably to Germany, where undeclared economic activity totaled 13.2 percent of GDP, and Sweden, where 13.9 percent of the country's GDP is accounted for by the shadow economy.

Does this mean the French are more virtuous than their European counterparts?

Not according Friedrich Schneider, co-author of the study, published this week.

Schneider attributed the French performance to a particularly efficient tax system, with stricter controls against cheating the system.

“Taxpayers here are given incentives to not resort to black-market work,” the economics professor told the website Challenges.fr.

Reduced VAT rates for the hospitality and construction industries also accounted for the fact the French were less likely to resort to the black market than the Germans, according to Schneider.

The study found that of the 21 countries surveyed, the champions of the black market were the Greeks, where the shadow economy represented 24.6 percent of GDP. They were closely followed by the Italians (21.1 percent), the Portuguese (19 percent) and the Spanish (18.6 percent).

At the other end of the chart were France's near-neighbours Switzerland, where the equivalent of 7 percent of their GDP was concealed from the tax man.

For the 12th year in a row, however, the world’s most honest taxpayers, at just 6.6 percent, were the Americans.

Economic earnings through criminal activity were not taken into account by the study.

The Local (news@thelocal.de)

Don't miss...X
Left Right

Your comments about this article

16:59 February 8, 2013 by Zubair Khan
Is not it morally shameful? Can we conclude one of the reasons Germans always failed to rule either part or the whole world?
17:19 February 8, 2013 by Englishted
Bet the French have less doctorates than the Germans can't think why?
17:40 February 8, 2013 by Berlin fuer alles
This whole Eurozone mess is caused by dishonest Germany. Namely, Dr. Merkyl and Mr. Hyde along with her Bankster buddies.
20:06 February 8, 2013 by jg.
"...Switzerland, where the equivalent of 7 percent of their GDP was concealed from the tax man."

That might be true of the percentage of their GDP that is hidden from the Swiss tax authorities but it seems likely that a substantial proportion of the Swiss GDP is earned from hiding wealth and earnings from the tax authorities of countries around the world.
10:08 February 9, 2013 by Sastry.M
May be the Germans are more taxed wage earners in support of Govt. commitments such as bailouts and guilt reparations.
10:12 February 9, 2013 by Berlin fuer alles
@ Sastry

The bailout taxes are levied against the citizens of those bailout countries.

Regarding the 'guilt reparations' as you call it. I presume you are referring to WWII holocaust and damage reparations which are fully justified.
10:59 February 11, 2013 by Sastry.M
@Berlin fuer alles,

Thanks for the correction. By 'taxed wage earners' I meant German tax payers from whose contributions, may be partly, the bail out funds are pooled up to be advanced to those in need.

Also the justified reparations to the aggrieved victims of ww2 holocaust is indicative of remorse and penitence of human nobility according to the dictum

"Virtus sola Nobilitat" or virtue alone ennobles.
Today's headlines
Size does matter in this case, rules judge
Photo:Shutterstock

Size does matter in this case, rules judge

A judge has ordered a deliveryman's manhood to be measured after he claimed in court that it was too small for him to be guilty of exhibitionism. READ  

Crimea annexation unnerves Germans: Poll
Ukrainian soldiers near Luhansk, Ukraine. Photo: DPA

Crimea annexation unnerves Germans: Poll

Almost two thirds of Germans fear Russia plans further land grabs in Ukraine, according to an opinion poll released on the eve of Chancellor Angela Merkel's visit to the conflict-torn country. READ  

Ice bucket challenge gets dumped on Germany
Actress Natascha Ochsenknecht gets doused. Photo: DPA

Ice bucket challenge gets dumped on Germany

German football players, German tennis players, German TV characters and Germany's latest Topmodel winner are on it, but is it actually making a difference? READ  

Defence chief shot down over shooting quip
Defence Minister Ursula von der Leyen tries on military body armour. Photo: DPA

Defence chief shot down over shooting quip

Amid heated debates over arms for Iraq, the Ukraine crisis, and Germany's foreign military involvement despite its WWII legacy, defence chief Ursula von der Leyen stirred a debate of her own on Friday after a dud World Cup gag. READ  

Expat Dispatches
He'll take my name: yes he's really sure!
He says "I will!" Photo: DPA

He'll take my name: yes he's really sure!

A quick and uncomplicated conversation between a recently engaged couple concluded that the husband-to-be would take on his fiancee's surname. However, no one was more surprised by people's reactions than Australian expat Liv Hambrett. READ  

Newborn white lion cubs are pride of the circus
Photo:DPA

Newborn white lion cubs are pride of the circus

Four white lions born into the Krone Circus during its stop in Magdeburg yesterday find themselves in a Germany reliving a decades-old fight over exotic animals displayed for profit. READ  

Heart centre accused of fiddling transplant list
A donor heart gets delivered to the DHZB. Photo: DPA

Heart centre accused of fiddling transplant list

UPDATE: The German Heart Institute of Berlin (DHZB) is under investigation for attempted manslaughter after evidence showed a doctor manipulated patient data to get them a new heart faster. READ  

Germany sues Swiss bank over missing marks
Julius Bär bank. Photo:DPA

Germany sues Swiss bank over missing marks

Berlin is suing one of Switzerland's largest banks in its bid to recuperate hundreds of million euros that went missing during the reunification of East and West Germany, the bank said Thursday. READ  

Trial of cannibalism fetish cop to begin
The scene of the crime. Photo: DPA

Trial of cannibalism fetish cop to begin

The trial of a German police officer accused of murdering a willing victim he met on a website for cannibalism fetishists starts on Friday in the eastern city of Dresden. READ  

False teeth of the dead: finders keepers?
Coffins awaiting incineration in a crematorium. Photo: DPA

False teeth of the dead: finders keepers?

An Erfurt court has decided not to force a 56-year old man to pay damages for more than 31 kilos of gold teeth taken from the crematorium in Hamburg where he worked between 2003 and 2011. READ  

RECEIVE OUR NEWSLETTER AND ALERTS
Photo: DPA
Society
A German journalist shares the story of his US arrest in Ferguson
Photo: DPA
National
Berlin's senate puts the brakes on Über
Photo: DPA
Gallery
The mysteries of Berlin's abandoned theme park
Photo: DPA
Culture
How I deal with my German Hausmeister
Photo: Ingrid Eulenfan/flickr
Gallery
Nine German treats you'll want to eat right now (and one you won't)
Photo: DPA
Society
Who's getting German citizenship?
Photo: DPA
Culture
How World War I changed Germany forever
Photo: APA/DPA
Gallery
The 12 best words in Austrian German
Photo: DPA
Society
'Look at those German shanty towns!'
Photo: Europeana.de 1914 - 1918
Gallery
A German soldier's life behind WWI lines
Education
Raising the bar for law & business in Germany
Photo: DPA
Business & Money
JobTalk: All you need to know about working in Germany
Photo: DPA
Features
The Local List Archive - Your guide to all things German
National
Share news tips with The Local Germany
Photo: DPA
Culture
Sprechen Sie Deutsch? 10 reasons why you should.
Latest news from The Local in Austria

More news from Austria at thelocal.at

Latest news from The Local in Switzerland

More news from Switzerland at thelocal.ch

Latest news from The Local in Denmark

More news from Denmark at thelocal.dk

Latest news from The Local in Spain

More news from Spain at thelocal.es

Latest news from The Local in France

More news from France at thelocal.fr

Latest news from The Local in Italy

More news from Italy at thelocal.it

Latest news from The Local in Norway

More news from Norway at thelocal.no

Latest news from The Local in Sweden

More news from Sweden at thelocal.se

3,372
jobs available
Toytown Germany
Germany's English-speaking crowd