The prostitution tax

[lenny]

"In Germany, prostitution is not only legal but taxed, and at a high rate, as one teen found out in 2009.

"That year, then-18-year-old Alina Percea, a Romanian-born student living in Germany, auctioned her virginity online to the highest bidder. An Italian businessman won, forking over about $14,000 for a weekend with Percea.

"Percea’s transaction was ruled “tantamount to prostitution” in Germany, and she had to pay a 50 per cent tax in addition to the 19 per cent VAT tax already charged in the country. According to the Daily Mail, it’s possible that Percea’s plan only netted her less than $5,000 after taxes were applied.

http://money.ca.msn.com/taxes/gallery/the-world’s-strangest-taxes#image=7

http://www.dailymail.co.uk/femail/a...ned-virginity-8-800-reveals-details-time.html

 

[jesuschrist]

"In Germany, prostitution is not only legal but taxed, and at a high rate, as one teen found out in 2009.

"That year, then-18-year-old Alina Percea, a Romanian-born student living in Germany, auctioned her virginity online to the highest bidder. An Italian businessman won, forking over about $14,000 for a weekend with Percea.

"Percea’s transaction was ruled “tantamount to prostitution” in Germany, and she had to pay a 50 per cent tax in addition to the 19 per cent VAT tax already charged in the country. According to the Daily Mail, it’s possible that Percea’s plan only netted her less than $5,000 after taxes were applied.

http://money.ca.msn.com/taxes/gallery/the-world’s-strangest-taxes#image=7

http://www.dailymail.co.uk/femail/a...ned-virginity-8-800-reveals-details-time.html

50% prostitution tax? Talk about a sure fired way to send prostitution underground.
And then a 19% value added tax??? What value did she add to sex as a commodity?
Those tax greedy liberals in their government really have their heads up their asses.

 

[bug321]

wish someone paid me $5000 for my virginity

 

[Tugela]

50% prostitution tax? Talk about a sure fired way to send prostitution underground.
And then a 19% value added tax??? What value did she add to sex as a commodity?
Those tax greedy liberals in their government really have their heads up their asses.

VAT is basically a sales tax, same as GST here. Since she is providing a service she is supposed to act as the tax collector for the government and charge the client the appropriate amount extra. If she doesn't, they she has to make good for it herself. The 50% tax is probably a combination of corporate tax rates plus what would her "salary" as it were (probably because they know that in a business where transactions are mostly cash based and records are rarely kept, much income will not be declared). That sounds about the right range anyway.

You can get an idea of German tax rates here: http://en.wikipedia.org/wiki/Taxation_in_Germany