- The Federal Fiscal Court (BFH) ruled that employee-paid parking space costs do not reduce the taxable benefit from the private use of a company car.
- The provision of a parking space is considered a separate benefit from the use of the company car.
- Only payments made by employees for the actual private use of the company car can reduce the taxable benefit, not payments for parking spaces.
- The BFH overturned a previous decision by the Cologne Fiscal Court that had allowed such a reduction.
Source: blogs.pwc.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.
Latest Posts in "Germany"
- Germany Clarifies Input VAT Deductions for Subsidized Service Providers Operating at Persistent Loss
- Germany Clarifies Input VAT Deductions for Subsidized Service Providers Operating at Persistent Loss
- German Cabinet Approves Law to Prevent Double RETT on Share Deals, Raises Trade Tax Rate
- Tasks and Structure of Customs: Duties, Tax Collection, Consumer Protection, and Crime Prevention in Germany
- VAT Treatment of Persistently Loss-Making Entities Receiving Public Grants: BMF Guidance 2026
