VAT in Germany

In Germany VAT is called Umsatzsteuer, and for most foreign-owned companies it is the tax that demands attention most often. A company registered in Germany receives its VAT treatment through the local tax office, and a business based abroad that sells in Germany may need a German VAT registration even without a German company. The standard rate is 19 percent, with a reduced rate of seven percent for listed supplies. A business that has just started trading files monthly advance returns in its first and second calendar year, each due by the tenth day after the period ends. The VAT identification number comes from the BZSt, in addition to the tax number, and only by post. The reduced-rate cases, the reverse charge and the reporting of sales to other EU countries are the points where a firm earns its fee, because a mistake on the invoice usually becomes a correction later.

Firms offering VAT in Germany

76 more firms offering VAT in Germany

Questions for a German VAT adviser

Ask whether the firm will apply for both the tax number and the VAT identification number, and how long that takes in practice. Ask how often your company will file advance returns and whether the firm will prepare the recapitulative statement for EU sales. If you sell goods from a warehouse in Germany, or online to consumers in other countries, ask how the firm treats those flows. Check who answers a query from the tax office and whether it is inside the agreed fee.

Firms on Accountanty

Accountanty lists 100 firms that handle VAT in Germany: 94 accounting firms and six law firms. Fifty-one are small, 34 medium-sized and 15 part of large networks. German is offered by 99 and English by 85, and Italian and Russian by ten each. In Berlin there are 32, in Munich 28, in Hamburg 17 and in Frankfurt 16. For the annual corporate returns, see tax compliance in Germany.

Frequently asked questions

Does a foreign business need a German VAT number to sell in Germany?

It can, even without a German company, depending on what it sells, to whom and from where the goods ship. Ask an adviser to check your flows before the first sale, because a late registration usually means correcting invoices already sent.

Which languages do German VAT advisers on Accountanty offer?

German is offered by 99 of the 100 firms that handle VAT in Germany and English by 85. Italian and Russian are each offered by ten, and French and Polish by a smaller group.

What does a German VAT adviser need from me each period?

Issued and received invoices, bank statements, customs documents for imports and the details of customers in other EU countries, including their VAT numbers. A firm that also keeps your books will already hold most of it.

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General information, not legal or tax advice. Rules, rates and fees change: check them with the official sources linked on this page or with a qualified adviser before you act.