We can help you with administration and solutions in Germany
Has your company achieved a certain turnover in Germany, are you carrying out work in Germany through subcontractors or are you carrying out work for which you are obliged to register for VAT in Germany? We will be happy to arrange the registration as well as the filing of German VAT reports for you quickly and gladly.
As a rule, you are obliged to register for VAT in Germany and file VAT reports in the following cases:
- If you sell goods online and physically store them in Germany, and if your goods are not stored in Germany but shipped from your home country, then you do not need to register for VAT. You would only be obliged to do this once your turnover exceeds EUR 10,000, which applies to the whole EU. Once this threshold is exceeded, sellers are obliged to submit VAT returns in each country to which they send their goods. To facilitate the VAT reporting system, from 1 July 2021 it is possible to register for the so-called OSS system (One-Stop-Shop), which allows businesses to remit VAT to all Member States centrally from one country.
- If you carry out construction work in Germany and use subcontractors, such as other companies or freelancers, to do the work. In this case, you are only able to claim a refund of the German VAT paid via the reports.
If you carry out work for a business in Germany, you do not pay VAT, but you can reclaim the German VAT you paid, e.g. on costs incurred for fuel, accommodation, purchases, etc.
If you carry out work in Germany for a natural person, i.e. a non-entrepreneur, you have to issue your invoices with VAT, which you are then obliged to pay to the German tax authorities.
Frequently asked questions
Do I have to register for VAT in Germany for online sales?
If your goods are physically stored in Germany, you are obliged to register your company for VAT in Germany and subsequently file VAT reports in Germany. If your goods are not stored in Germany, but shipped from Slovakia, then you will not register for VAT. If your turnover exceeds EUR 10,000, you can register for the OSS system and pay the German VAT centrally from Slovakia.
When do I have to file VAT reports in Germany for construction work?
If you carry out construction work in Germany and use subcontractors – e.g. other companies or freelancers – for the work, you are obliged under German law to report this to the German tax authorities and file regular German VAT reports. In this case, you have the option of claiming the German VAT refund only through the report.