VAT in Germany: Process, German VAT Rates, Due Dates

Germany is with one of the biggest Amazon marketplaces in Europe definitely worth expanding to. This is likely to require a VAT registration in Germany. As you know, the VAT rates that apply differ within Europe from country to country. The standard VAT rate in Germany is 19%, however, there are specific types of goods for which different rates apply. The following paragraphs provide you with all the information you need to know about the VAT rate Germany.

How does VAT work in Germany?

The Value Added Tax (VAT) is a general, broadly based consumption tax assessed on the value added to goods and services and it applies almost to all goods and services that are bought and sold within the EU.

Therefore, export goods which are sold abroad are normally not subject to VAT. The other way around, imports are taxed to guarantee an equal competition – on equal terms on the European market with suppliers situated outside the EU. Naturally, Germany ensures to follow the rules and guidelines of the European Parliament concerning VAT compliance in order to make a smooth handling possible and to make the whole VAT system work.

Germany, like any other country that is part of the EU, can set its own standard VAT rate as long as it exceeds 15%.

German VAT rates – depending on the product

Value Added Tax rate in Germany – 19% (Standard):

All taxable goods and services that are not listed in the following VAT rates.

VAT rate: 7% (Reduced):

Water supplies, medical equipment for disabled persons, local public transport, books, audiobooks, newspapers, periodicals, writers/composers etc., agricultural inputs, hotel accommodation, admission to cultural and certain sports events, social services, firewood, take away, medical and dental care, cut flowers and plants, taxation of gold and jewellery

Rate of 0% (Zero) in Germany

Intra-community and international transport

Due date for German VAT

The VAT in Germany has to be provided to the respective tax authorities 10 days after the VAT reporting period ends. This can either be monthly or quarterly and does naturally apply for goods and for services.

Check out our overview of all VAT rates in Europe, from A like Austria to U like United Kingdom. Further, find a detailed article about all European VAT rates, or rather about all European countries and their respective VAT rates.