Germany VAT Registration
There is no registration threshold in Germany, therefore all entities that make taxable supplies are required to register for VAT. In Germany, the following two types of numbers are used:
1. General tax number (Steuernummer) – The tax number is required for communication with the tax office, advance VAT returns, etc.
2. VAT Identification Number (USt-IdNr.) – Following receipt of the tax identification number, a taxable person may apply for a VAT Identification Number at the Federal Office of Finance.
Business Location
Foreign Entities
A non-established business is exempt from registering for German VAT if all of its supplies are subject to the reverse-charge procedure (receiver self-assessment). Most services use reverse-charge. It does not apply to supplies of commodities located in Germany (excluding installed products) or to private people. A non-established firm must register for German VAT if the reverse charge does not apply.
German Established Entities
In Germany, there is no VAT registration threshold. When a taxable person commences an activity in Germany, he or she must notify the German VAT authorities of his or her obligation to register.
However, small enterprises established in Germany are not required to file VAT returns/remit VAT if their total turnover did not exceed small enterprises thresholds.
Exemption
Germany’s VAT law makes no provision for a registration exemption
Selling into Germany?
German VAT Registration
It typically takes four to six weeks to obtain a (general) tax number from the responsible local tax authority, followed by the VAT ID number for intra-Community transactions or services provided, which is obtained from the Federal Central Office for Taxes (Bundeszentralamt für Steuern).
The entrepreneur can apply for a (general) tax number by explaining in writing why he needs to register for VAT in Germany to the responsible local tax authority. Although no special form is required, the entrepreneur is usually required to complete a questionnaire issued by the relevant local tax authority.
New EU VAT Regulation July 2021
Beginning July 2021, new regulations were implemented. Country-specific VAT thresholds were eliminated in favour of an EU-wide distance selling threshold of € 10,000.
All distance selling revenues below this new threshold are still subject to VAT in the country of origin or the home country of the business.
All the above sales are subject to tax in the countries where the goods and services are delivered.
Germany OSS Registration
The OSS (one-stop shop) was implemented in Europe after July 2021 and with the OSS a seller can register for VAT in one EU member state and remit VAT to the tax authorities of that member state for all of its EU VAT obligations. GVC can register your business for OSS in Germany. You can contact us using the form below and one of our VAT Experts will soon contact you with further information for your German OSS registration.
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
