business or trade tax is the most important source of income, and
nearly all municipalities with a population over 80,000 have a trade
tax. In Frankfurt, the trade tax is around 15 per cent of corporate
profits.⁴⁶ There are other taxes cities like Frankfurt can rely on as
sources of income – for example, Frankfurt also levies a tourist tax of
€2 per night ⁴⁷– and in some cases the revenues are shared with the
Lander, the regional authority the city is part of.
Beyond the city itself, the Frankfurt/Rhine-Main region is also
recognised as one of 11 European metropolitan regions of Germany.
The metropolis extends beyond the administrative boundaries of the
core city and controls and coordinates regional development.
IHK Frankfurt am Main is the chamber of commerce for the city and
plays an important role in the economy of the urban area. It provides
legal and commercial advice to business, offers vocational and
skills training to employees, and lobbies for a free market capitalist
economy with minimal intervention from government. It expresses
views on all policy areas that affect its businesses, such as taxes or
the state of the Euro. It maintains close links with other chambers of
commerce in Germany and the rest of Europe.⁴⁸
In Germany, every business needs to sign up to the chamber of
commerce by law (there is no specific number for Frankfurt, but
basically it means every business in the area). The chamber of
commerce has 220 employees supported by 420 businessmen who
commit themselves on an honorary basis. The chamber is financed by
membership. Its estimated income for 2019 is €45.7m, with around
€659K after expenses.⁴⁹
⁴⁷ https://www.bettensteuer.de/en/city-tax-frankfurt-main 30/05/2019
⁴⁸ https://www.frankfurt-main.ihk.de/english/about_us/ 30/05/2019
⁴⁹ https://www.frankfurt-main.ihk.de/ihk/vorstellung/organisation/index.html; https://www.frankfurt-main.