- From January 1, 2026, restaurant and catering services (excluding beverages) in Germany will be permanently subject to a reduced VAT rate.
- For combination offers (food and beverages), 30% of the flat rate price can be attributed to beverages.
- For short-term rental services, the portion of remuneration for certain combined services can be set at 15% (previously 20%) of the flat rate.
- The new rules apply to all transactions from January 1, 2026, but the standard 19% VAT rate can still be used for services provided on the night of December 31, 2025, to January 1, 2026.
- Special attention is required for vouchers issued in 2025 to determine the correct tax treatment under the new rules.
Source: kpmg.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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