VAT in Germany 2026
VAT in Germany operates under the Umsatzsteuer (VAT) system and includes a standard rate of 19% in 2026, a reduced rate of 7%, and new rules for restaurants and e-invoicing. Foreign companies must assess warehousing, import, OSS, SME, and reverse charge separately. Taxenlight provides VAT registration abroad and ongoing processing of VAT returns abroad.
VAT rates in Germany 2026 – a complete overview
The standard rate of the German Umsatzsteuer is 19%, with a reduced rate of 7%. From 1 January 2026, food served as part of restaurant and catering services will be permanently subject to the 7% rate; beverages will generally remain at 19%.
Applies to goods and services for which the Act does not provide for preferences or exemptions.
It includes, among other things, selected food products, books, newspapers, passenger transport and accommodation.
The reduced rate applies to restaurant and catering services. It does not apply to beverages, which generally remain subject to the 19% rate.
Move table sideways →
| VAT rate | Products and services assigned to the rate |
|---|---|
| 19%basic rate |
|
| 7%reduced rate |
|
| 0%§ 12 section 3 UStG |
|
| Exemptionwith the right to deduct |
Exports and intra-Community supplies are not subject to the German 0% VAT rate. |
| Exemptionwith limited deduction |
|
Exports and intra-Community supplies of goods may benefit from VAT exemption with the right to deduct if material and documentary requirements are met. A separate 0% rate applies, among other things, to certain transactions involving photovoltaic installations.
Check VAT rates across the EU for 2026
When expanding to Germany, it is worth immediately comparing rates and obligations with other EU countries.
When might a foreign company need a German VAT number?
For warehousing, imports, own goods movement, and many local transactions, there is no simple exemption threshold from registration analysis. However, a company established in the EU may benefit from the cross-border SME exemption under certain conditions.
Situations requiring special analysis
- warehouse or Amazon FBA in Germany,
- moving your own goods to Germany,
- import and subsequent sale from German stock,
- local deliveries other than reverse charge, OSS or SME,
- transactions excluded from the OSS procedure.
The VAT number does not determine the establishment
Simply having a Steuernummer or USt-IdNr. doesn't mean that a company has its registered office or permanent establishment in Germany. This is a separate assessment, important for purposes such as reverse charge and e-receipt.
The German Fiscal Verification Act has a narrow scope and is not a general obligation for every non-EU company. Details are subject to registration analysis.
OSS and cross-border SME exemption in Germany
These are two different solutions. OSS is used to settle selected B2C sales in the consumer's country, while SME can exempt a qualifying small business from German VAT.
German limit on turnover achieved in the previous year.
Turnover limit for the current year.
EU-wide turnover limit for a trader established in the EU.
Can a small foreign company benefit from the exemption?
- the procedure does not work automatically,
- the entrepreneur must be established in the EU,
- prior notification in the country of residence and identification with the suffix
EXis required , - the exemption limits the right to deduct input VAT.
OSS limit €10,000
The €10,000 limit is a common EU-wide limit, not a limit specific to Germany. Above this limit, VAT is generally due in the consumer's country and can be settled by the OSS.
OSS does not replace local analysis for warehouses in Germany, FBA, own goods movements, local deliveries from German stock, imports or transactions outside the scope of OSS.
Do you need a VAT number in Germany?
We have prepared a separate guide on VAT DE registration: documents, ELSTER, Steuernummer, USt-IdNr. and waiting times.
Go to the VAT registration guideWhat does the current settlement of German VAT look like?
A registered taxpayer may submit periodic UStVA, annual Umsatzsteuer-Jahreserklärung and – for relevant EU transactions – ZM. The frequency and deadlines depend on the taxpayer's situation.
UStVA
The periodic declaration shows the VAT due and input.
Annual declaration
Summarizes the Umsatzsteuer settlement for the entire year.
ZM
Zusammenfassende Meldung covers relevant intra-Community transactions.
For monthly settlements, under certain conditions, you can obtain a "Dauerfristverlängerung," which is a permanent extension of the due date by one month. Details are provided in the guide to VAT returns in Germany.
INTRASTAT in Germany – current thresholds
INTRASTAT is a statistical report on the movement of goods within the EU. Thresholds are assessed separately for imports and exports.
Threshold for the Eingang direction.
Threshold for the Versendung direction.
Forms, commodity codes, deadlines, corrections and sanctions are described in the guide to VAT declarations in Germany.
See EU INTRASTAT thresholds 2026
If you also ship goods from Germany to other EU countries, check the reporting thresholds for the entire EU.
How to recover VAT paid in Germany?
The right path depends on the company's status and the type of transaction. Not every foreign entrepreneur recovers German VAT in the same way.
EU reimbursement procedure
An EU company generally submits an application by 30 September of the following year via the administration portal of the country of its registered office, if it meets the conditions of the procedure.
Settlement in declarations
The excess of input VAT over output VAT is reported in German VAT returns.
Separate conditions apply to entrepreneurs from outside the EU, including the assessment of reciprocity and eligibility of expenses.
E-commerce sales to Germany and VAT
When selling online to customers in Germany, the key question is whether VAT OSSor whether local VAT DE registration is required.
When is OSS usually enough?
- you send goods from Poland directly to the consumer in Germany,
- you don't have a warehouse in Germany,
- goods are not moved between EU warehouses,
- the sale is B2C and after exceeding the threshold of EUR 10,000 you settle it via OSS.
When is OSS not enough?
- the goods are in a German warehouse, e.g. Amazon FBA,
- you sell locally from Germany,
- you move your own goods to Germany,
- you import goods into Germany before reselling them.
If you are unsure which model applies to your business, it is worth analyzing the logistics, shipping origin, and customer status before starting a sale.
The current platform operator liability model is primarily linked to the seller's valid USt-ID number and data recorded by the operator. The old paper certificate is no longer a fundamental principle for sales on Amazon or other marketplaces.
Not sure if you need VAT in Germany?
Let's discuss your sales model, warehousing, OSS, tax returns, and tax risks in Germany. Together, we'll determine where to start.
Warehousing in Germany – e-commerce and more
Germany has an extensive logistics infrastructure for e-commerce: Amazon FBA, 3PL operators, fulfillment centers, and cross-docking. However, for VAT purposes, the most important factor is the physical storage of goods in Germany.
Types of warehouses
- public and private customs warehouses,
- fulfillment centers, including Amazon FBA,
- 3PL distribution centers for B2B and B2C sales,
- cross-docking and quick reloading,
- specialized magazines for selected industries.
What does this mean for VAT?
Storing goods in Germany typically requires a German VAT number. The Pan-EU FBA program can reduce logistics costs but does not exempt you from local tax obligations.
Amazon FBA
Under the FBA model, goods can be moved between EU warehouses. The seller must track Amazon's reports and properly report non-transactional deliveries and purchases in the countries concerned.
Reverse charge in Germany – when does VAT settlement transfer?
Reverse charge can shift the obligation to settle VAT to the German recipient, particularly for certain services and benefits provided by a foreign entrepreneur. However, the mechanism should not be applied automatically to every B2B sale or to every local delivery of goods.
Evaluation of a specific transaction
The type of service, the recipient's status, the place of taxation, and whether a German permanent establishment is involved in the transaction are all important factors. Special rules apply, among other things, to construction services and selected goods.
The annotation is used on the invoice when the conditions for the reverse charge are actually met.
Deferred import VAT in Germany
Importing goods from outside the EU into Germany triggers the obligation to pay the VAT Tax (EUSt). Import VAT is generally paid at customs, but German regulations allow for deferred payment.
How does deferment work?
Instead of paying import VAT at the border, a company can pay it by the 26th day of the second month following import and then deduct the tax in its VAT return. This improves liquidity, but it is not yet a classic VAT settlement in the return.
See Zoll's information about EinfuhrumsatzsteuerBewilligung
To benefit from the deferral, you must obtain customs authorization from the relevant Hauptzollamt. Once approved, the payment can be collected by Bundeskasse Trier using the SEPA-Lastschrift system.
Conditions for granting permission
- the company is based in Germany or the EU,
- is entitled to full deduction of input VAT,
- regularly imports,
- has no tax arrears.
E-invoices in Germany in 2026
As of January 1, 2025, e-invoices are invoices in a structured format that allows for electronic processing. A regular PDF is considered an "invoice of another kind," not an e-invoice.
B2B between domestic entrepreneurs
The obligation to receive e-Receipts is in force from 2025. Until the end of 2026, the issuer may also use paper or PDF with the recipient's consent; for issuers with a turnover of up to EUR 800,000, the transition period may last until the end of 2027.
Foreign company with USt-IdNr.
Merely having a German VAT registration or USt-IDN does not make a company a domestic enterprise. Without a registered office, management board, or permanent establishment in Germany, there is no automatic obligation to issue a German E-Rechnung.
B2C and B2G
B2C is not subject to the same national B2B obligations. B2G is subject to separate public procurement rules and customer requirements.
E-Receipt does not necessarily mean X-Receipt. Other compatible formats may also be acceptable, such as ZUGFeRD, which meets semantic and technical requirements.
Four things you need to check when registering for VAT in Germany
The rate, sales model, location of goods and company status must be assessed together – a German VAT number alone does not answer all questions.
from 2026, food in the catering industry has 7%, but beverages generally 19%
export and IDT are exemptions with the right to deduct after meeting the conditions
warehouse, FBA, import and local inventory may require registration outside of OSS
Reverse charge and E-Rechnung do not result automatically from having a USt-IdNr.
FAQ: VAT in Germany 2026
The standard rate is 19%, and the reduced rate is 7%. A separate 0% rate applies to relevant transactions under § 12 paragraph 3 UStG, including certain photovoltaic installations.
Food in restaurants and catering services is subject to a 7% rate. Beverages generally remain subject to a 19% rate.
They should not be described as the German 0% rate. Exports and intra-Community supplies of goods may benefit from VAT exemption with the right to deduct upon meeting material and documentary conditions.
It depends on the transaction. Warehousing, FBA, import, own goods movement, and local deliveries often require registration analysis, but OSS, reverse charge, and SME can also be relevant.
Yes, if it meets the German limits and the EUR 100,000 turnover limit in the EU, it will submit an advance notification in the country of establishment and will receive identification with the ending EX.
Not always. OSS can account for certain B2C sales, but excludes, among other things, local deliveries from a German warehouse, own goods movements, imports, or transactions outside the scope of the procedure.
Typically, yes. Physical storage of goods and transfers to a German warehouse may require a local VAT number and declaration.
In transactions specified in § 13b UStG, after assessing the type of service and the status of the parties, the mechanism does not automatically cover every B2B sale by a foreign company.
Not automatically. The USt-IdNr. alone does not imply a registered office or a participating permanent establishment in Germany. The obligation must be assessed according to the status of the parties and the specific transaction.
An unregistered company can use the refund procedure, a registered company settles the surplus in its declarations, and an entity from outside the EU is subject to separate conditions.
