In the case of a one-time brokerage service, the entire fee is subject to VAT in the year in which the service is rendered. This also applies if payment of the fee is spread in equal annual installments over the subsequent years. With its decision the European Court of Justice (ECJ, C‑324/20 X-Beteiligungsgesellschaft) answers the request for a preliminary ruling submitted by the Federal Tax Court and confirms its case law that VAT is due at the time services are supplied, even where payment relating to the transaction carried out was not yet received.
Source: PwC DE
Latest Posts in "Germany"
- Germany Introduces Language Flexibilities for E-Invoicing
- European Customs Union: Facilitating Free Trade and Protecting Citizens for Over 50 Years
- Judgment on June 24, 2025: Reassessment of Customs Debt Following a Refund Decision
- ECJ VAT C-409/24, C-410-24, C-411/24 – AG Opinion – VAT Treatment of Ancillary Services: Separate Standard Rate Taxation Allowed
- Germany to Implement Permanent 7% VAT Rate for Restaurants and Catering from 2026