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No Reduced VAT Rate for Ticket Brokerage: FG Köln Rules on Ticket Seller’s VAT Classification

  • The Cologne Fiscal Court ruled on the VAT classification of ticket sellers acting on behalf of event organizers.
  • The main issue was whether the fees collected by the ticket seller are subject to the reduced or standard VAT rate.
  • The court distinguished between direct sales, commission transactions, and intermediary services.
  • It held that when tickets are sold in the name and for the account of the organizer, the seller provides an intermediary service.
  • Only the retained advance booking fee is subject to VAT as remuneration for the intermediary service; ticket prices themselves are considered pass-through items.

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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