What is church tax in SAP CYT - Capital Yield Tax?

SAP Term: church tax

• Component: CYT

• Component Name: Capital Yield Tax

• Description: Tax that is deducted by the state from the taxable income of members of religious communities that are legal entities. The state deducts a provision and transfers the remaining amount to the religious communities.

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• Key Concepts: 
  Church tax is a tax levied by the Catholic Church in Germany on its members. It is based on the income of the individual and is collected by the state. The CYT Capital Yield Tax (CYT) is a component of the church tax that is used to finance investments in capital assets, such as stocks and bonds. 
  
  How to use it: 
  The CYT Capital Yield Tax is calculated based on the individual's income and is collected by the state. The amount of the tax varies depending on the individual's income level and can range from 0.5% to 9%. The tax is used to finance investments in capital assets, such as stocks and bonds, which are then used to generate income for the church. 
  
  Tips & Tricks: 
  It is important to understand that the CYT Capital Yield Tax is not a voluntary contribution, but rather a mandatory tax that must be paid by all members of the Catholic Church in Germany. Additionally, it is important to note that this tax does not apply to non-members of the church. 
  
  Related Information: 
  The CYT Capital Yield Tax is just one component of the church tax in Germany. Other components include a solidarity surcharge, which is used to fund social programs, and a special contribution, which is used to fund religious activities. Additionally, there are other taxes that are levied by the Catholic Church in Germany, such as a marriage tax and an inheritance tax.