- The VAT rate for food in the restaurant industry has been permanently reduced to 7% starting January 1, 2026.
- For input tax allocation on real estate, the allocation based on usable area is now prioritized over the total turnover key.
- Transitional regulations regarding the abolition of the VAT warehouse have been included in the law.
- The article provides an overview of these changes, intended future VAT adjustments, and relevant updates in other laws and the 2026 annual VAT return.
Source: datenbank.nwb.de
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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