Appoint a fiscal representative in Germanyand make sure to be 100% VAT compliant

Basic information
EU membership	1957
ISO code	DE
VAT introduced in Germany	1968
VAT name in Germany	Umsatzsteuer / Mehrwertsteuer
VAT ID format in Germany	DE999999999
Territories with special status in Germany	Island of Helgoland, Busingen
VAT rates in Germany
Standard VAT rate	19 %
Reduced VAT rate (1)	7 %
Reduced VAT rate (2)	n/a
Super reduced VAT rate	n/a
VAT parking rate	n/a
Zero VAT rate	no

Thresholds triggering VAT reporting obligations in Germany
Intrastat threshold at introduction	800 000 EUR
Intrastat threshold on dispatch	500 000 EUR
Distance selling threshold	As of 1st July 2021, the threshold is EUR 10,000 for all intra-Community distance sales.

Reporting frequency in Germany

Intrastat return	monthly depending on threshold
EC Sales List (ESL) return	monthly, quarterly

VAT returns	monthly, annually
Reporting currency	EUR
VAT-related penalties in Germany
Failure to file a VAT return	Penalty of 10% of the VAT due up to a limit of EUR 25,000 per return.
Late payment of VAT	A fine of 1% of the VAT due per month of delay.
Failure to report ESL/DEB	A fine of 1% of the amount to declare in the ESL with a maximum of 2500 euros.
Useful links on VAT in Germany
Tax Administration in Germany	Tax authorities
Ministry of Finance in Germany	Ministry of Finance
Check a VAT number in Germany	Check a VAT number

EU VAT Guide	EU VAT Guide

Need VAT assistance in Germany? Contact us now.

Appointing a tax representative or agent is sometimes an obligation, always a convenience.

A foreign company carrying out transactions in Germany subject to German VAT, may be required to appoint a tax representative. Established in Germany, the fiscal representative will fulfill the company’s VAT obligations to the German tax authorities on its behalf: filing VAT returns, paying VAT, claiming VAT refunds and carrying out tax audits.

Even when the appointment of a tax representative is not mandatory, a company may entrust the management of its VAT obligations to a tax agent. The difference between an agent and a tax representative essentially concerns the operator’s degree of responsibility. At EASYTAX, we will in any case use the term “tax representation”.

Why entrust your VAT obligations in Germany to a tax representative?

To secure your operations, lighten your company’s administrative burden, and control tax risks in Germany.
Intra-Community and German VAT regulations are complex and subject to frequent changes. Declaratory obligations are recurrent and vary in frequency. Penalties for default or delay, as well as errors in flow assessment, can quickly prove financially onerous.

Don’t take risks, don’t pull your hair out: leave the management of your VAT obligations to specialists.

For VAT compliance in Germany, choose EASYTAX

Discover a simple, reliable and efficient tax representation service. EASYTAX handles all your VAT obligations, Intrastat, ESL, and your VAT recovery claims in Germany, in all European Union countries and certain non-EU countries. You have access to a dedicated consultant, who monitors your file and answers any questions you may have.

Need a tax representative in Germany? Contact us now.

Germany, a founding member of the European Union, is the leading European market, which is naturally of interest to e-sellers.
The strength of its industry (automotive, chemicals, pharmaceuticals, capital goods, biotechnologies and new technologies, etc.) gives it a dominant position: 5th largest economy in the world, 2nd largest importer and 3rd largest exporter.
All this, plus its central position in Europe, make it a country of choice for trading and storage platforms.
It’s easy to see why operators develop activities that may require registering for VAT registration and incur various other obligations. This is why companies might find it worthwhile appointing a tax representative in Germany.

The VAT regulations in Germany are based on its national laws as well as on the Intra-Community VAT directives issued by the European Union.
The German regulations are set out in the law on turnover tax (Umsatzsteuergesetz, hereinafter ‘UStG’), the provisions for implementing the law on turnover tax(Umsatzsteuer-Durchführungsverordnung, hereinafter ‘UStDV’) and the guidelines for turnover tax (Umsatzsteuer-Richtlinien, hereinafter ‘UStR’).

The VAT rates currently in force in Germany are as follows:

• Standard VAT rate: 19 %
• Reduced VAT rate (1): 7 %
• Reduced VAT rate (2): n/a
• Super reduced VAT rate: n/a
• VAT parking rate: n/a
• Zero VAT rate no

Need a tax representative in Germany? Contact us now.