The Bilanz
The German balance sheet (Bilanz): structure, Aktiva and Passiva under § 266 HGB
The German balance sheet — the Bilanz — follows a fixed, legally prescribed layout set out in § 266 HGB. This page explains its two sides (Aktiva and Passiva), the order in which items must appear, and how the level of detail shrinks for smaller companies.
What the Bilanz is
The Bilanz is the snapshot of a company's assets, equity and liabilities at the balance sheet date (Bilanzstichtag). Unlike the flexible formats permitted under some frameworks, § 266 HGB dictates the exact structure and sequence: you cannot reorder the items or invent your own headings.
It is presented in account form — assets on the left, equity and liabilities on the right — and both sides must balance, because assets equal the capital that finances them. Every corporation shows a prior-year comparative column alongside the current figures (§ 265 Abs. 2).
Aktiva and Passiva
The left side, Aktiva, lists what the company owns and is owed, ordered by liquidity from least to most liquid: fixed assets first, then current assets. The right side, Passiva, lists how those assets are financed: equity first, then provisions, then liabilities.
This ordering is itself informative. German readers expect the durable, illiquid resources at the top of the asset side and the owners' capital at the top of the financing side, so the structure signals stability and creditor cover at a glance.
The asset side (Aktiva)
A. Fixed assets (Anlagevermögen)
Intangibles, property, plant and equipment, and financial assets held for the long term. Their movements over the year are shown separately in the Anlagenspiegel (§ 284 Abs. 3).
B. Current assets (Umlaufvermögen)
Inventories, receivables, securities and cash — assets not intended for lasting use. Valued at the strict lower of cost or market (§ 253 Abs. 4).
C. Prepaid expenses (Rechnungsabgrenzungsposten)
Payments made before the balance sheet date that relate to a later period (§ 250).
D./E. Deferred tax assets and similar
Deferred tax assets (§ 274) and the asset-side difference from pension netting appear at the foot of the asset side, mainly relevant to medium and large entities.
The equity-and-liabilities side (Passiva)
A. Equity (Eigenkapital)
Subscribed capital, capital and revenue reserves, retained or carried results and the net income for the year, structured by § 266 Abs. 3 A and § 272.
B. Provisions (Rückstellungen)
Obligations certain in nature but uncertain in amount or timing — pensions, taxes, warranties and other risks (§ 249).
C. Liabilities (Verbindlichkeiten)
Payables to banks, suppliers and affiliated companies, with remaining maturities disclosed in the notes or the Verbindlichkeitenspiegel.
D. Deferred income (Rechnungsabgrenzungsposten)
Income received before the balance sheet date that belongs to a later period, plus deferred tax liabilities where relevant.
Detail scales with size
The full § 266 structure applies to large corporations. Smaller companies present less: a small company (kleine, § 266 Abs. 1 Satz 3) may show a condensed balance sheet with only the items marked by letters and Roman numerals, and a micro entity (§ 267a) may go further to a very short format under § 266 Abs. 1 Satz 4.
So the same statute produces a multi-page balance sheet for a large group member and a single-page one for a micro GmbH. The classification — micro, small, medium or large — is what determines the level of detail you owe.
Rules behind the figures
Several HGB rules shape what you can show. There is no offsetting: assets may not be netted against liabilities, nor income against expense (§ 246 Abs. 2). Assets are capped at historical cost (§ 253 Abs. 1), so no fair-value uplifts for most items. And the fixed order plus prior-year column means a German reader can compare any two Bilanzen line by line.
The 'of which' sub-notes (davon), such as amounts due within one year, are disclosed in the notes rather than crowded onto the face of the balance sheet, keeping the Bilanz itself clean and standard.
Frequently asked questions
What is a Bilanz?
A Bilanz is the German balance sheet: the statement of a company's assets (Aktiva) and its equity and liabilities (Passiva) at the balance sheet date, in the fixed format prescribed by § 266 HGB.
What is the difference between Aktiva and Passiva?
Aktiva is the asset side — what the company owns and is owed, ordered by liquidity. Passiva is the financing side — equity, provisions and liabilities. Both sides always balance.
Does a small GmbH file a full balance sheet?
No. Small companies may file a condensed Bilanz showing only the lettered and Roman-numeral items (§ 266 Abs. 1), and micro entities an even shorter version. Only large corporations file the full detail.
Why is a German balance sheet in a fixed order?
Because § 266 HGB prescribes the exact structure and sequence. This standardisation lets creditors, the register and auditors compare any two German balance sheets directly.
Where do maturities and 'of which' notes appear?
On the notes side. In this framework the remaining-maturity breakdowns and davon (of which) items are disclosed in the Anhang or the movement schedules, not on the face of the Bilanz.