New versions of harmonised e-invoice French Factur-X1.07 and German ZUGFeRD 2.3 formats Updated versions of the synchronised French Factur-X1.07 and German ZUGFeRD 2.3 e-invoicing standards have been launched on 7 May 2025. The fully aligned version of Factur-X, which is compliant with the EU EN16931
Introduction of cash-free import VAT option promised Germany is likely to become the latest EU country to introduce postponed VAT accounting. This allows importers of goods into Germany to avoid a cash payment of import VAT; instead just making a declaration in their next German
New coalition government confirms reintroduce 7% reduced VAT rate from 1 January 2026 The new German coalition government of the CDU and SDP has on 9 April 2024 confirmed it will bring back the 7% reduced VAT rate for food sales by hospitality businesses. The
Germany increases threshold for mandatory VAT registration The annual registration threshold for mandatory Value Added Tax rose on the 1 January 2025 as follows: 2024: if previous year turnover was €22,000 and current year is forecast to exceed €50,000; to 2025: if previous year turnover
Retailers must notify BMF of electronic cash registers from 1 July 2025 From 1 July 2025, German businesses must register via MyElster their electronic or fiscal cash registers. This applies to existing registers; newly purchased registers from that date must be registered within 30 days.
VAT compliance and reporting rules in Germany 2025 Below is summary of the major rules provided under German VAT rules (2005 VAT Act; Umsatzsteuer-Anwendungserlass, UStAE (Application Decree;); and Umsatzsteuer-Durchführungsverordnung, UStDV), plus adoption of EU VAT Directive provisions. Check our country VAT guides for other jurisdictions. VAT Calc’s single
Federal Council (Bundesrat) approved VAT changes as part of Annual Tax Act The German Bundesrat has approved the Ministry of Finance’s Jahressteuergesetz 2024 (Annual Tax Act) on 22 November 2024. The Bill will shortly be gazetted and largely comes into effect from 1 January 2025.
Annual guidance from Ministry of Finance on technical Value Added Tax issues The Federal Ministry of Finance has published the annual VAT book, this one covering 2023. There is a separate Finance Ministry 2024/25 VAT Issues publication of the most important VAT regulations and regulations Topics
Updated publication of common German ZUGFerd and French Factur-X standard In October, the respective national e-invoicing standards for Germany and France will simultaneously updated. German e-invoicing is to be mandated between 2025 and 2028. There is also a French e-invoicing mandate starting in September 2026.
