German VAT Act changes

Thu 31st Jul 2014

The German VAT Act has been amended by the Federal Council this month. The principle changes include:

  • Incorporation of the 2015 EU Mini One Stop Shop changes, including the change of the place of supply rules to the location of the consumer on B2C electronic and broadcast services on 1 January 2015
  • Reclassification of audio books to the same 7% reduced VAT rate at printed books from January 2015
  • Introduction of the reverse charge on the supply of mobile phones, tablet computers, some construction works and certain high-value metals for domestic supplies from October 2014 as an anti-fraud measures.
  • VAT exemptions for certain employment services, child care and religious staff has been passed.