Why is corporate income tax in Germany based on financial accounting income?

Question

Quizplus · Accepted Answer

Germany's approach to corporate income tax is historically based on its pre-existing financial accounting rules. Before the introduction of corporate income tax, Germany already had established rules for financial accounting. This historical precedence influenced the basis on which corporate income tax was structured, leading to the use of financial accounting income as a foundation for tax calculations.

Why Is Corporate Income Tax in Germany Based on Financial