VAT in Germany
Germany’s VAT system is based on the EU VAT Directive and was enacted into law by the 1980 Value Added Tax Act (UStG) and VAT Implementation Regulation (UStDV). Germany’s standard VAT rate is 19%.
The German Value Added Tax Act (“VATA”) is harmonized with the rest of EU’s VAT system.
Everything you need to know about VAT in Germany such as VAT Registration, Returns, Tax Representation (if applicable), and your legal duties in Germany, is conveniently located right here!
Selling into Germany?
Introduction to VAT in Germany
VAT is a tax that is levied on the majority of business-to-business and business-to-consumer transactions in all of the European Union’s member states and an increasing number of other nations. It is vital for cross-border commerce that businesses maintain compliant VAT registration profiles and that VAT obligations are met accurately and on time.
Scope of Taxation
VAT is charged on the following types of transactions:
• A taxable person’s provision of goods or services in Germany.
• A taxable person’s intra-Community procurement of goods from another EU Member State.
• Reverse-charge supplies, which include both services and goods that require installation.
• A taxable person’s self-supply of goods and services.
• The importation of items from outside the EU, regardless of the importer’s status.
Taxable persons include:
• Independent entities who carry out economic activity.
• Non-commercial entities such as public bodies carrying out an economic activity of commercial value.
Germany VAT information
| National Legislation | German Ministry of Finance |
| VAT in local language | Umsatzsteuer/Mehrwertsteuer (USt-IdNr.) |
| German VAT number format
|
DE+9 digits |
| DE123456789 | |
| VAT rates in Germany
|
Standard 19%; Reduced 7% |
| Zero-rated (0%) and exempt | |
| Frequency | Monthly, quarterly, and annual returns |
Thresholds |
|
| Registration in Germany | |
| Established | None |
| Non-established | None |
| Intra-Community acquisitions | EUR 12,500 |
| Intra-EU Distance sales and electronically supplied services to consumers (OSS) | EUR 10,000 |
| Recovery of VAT by non-established businesses | Yes |
Compliance Returns and Deadlines |
|
| German VAT Returns | 10th day following the end of the filing period |
| European Sales Listing | 25th day following the end of the filing period |
| Intrastat | 10th day following the end of the filing period |
| Annual Return | On or before July 31 of the year following the annual reporting period (may be extended under some conditions) |
Last Updated: 16/01/2022
Disclaimer
The information provided by Global VAT Compliance B.V. on this webpage is intended for general informational purposes only. Global VAT Compliance B.V. is not responsible for the accuracy of the information on these pages, and cannot be held liable for claims or losses deriving from the use of this information. If you wish to receive VAT related information please contact our experts at support@gvc.tax