VAT updates Germany

VAT updates in German, from 1 January 2022, VAT updates in three German Federal States. It will take steps towards advancing the implementation of e-invoicing. In Hamburg, changes have been made in relation to B2G invoicing. Contractors are obligated to send e-invoices in relation to invoices for supplies and contracts issued for concessions. In Baden Württemberg, it is mandatory to issue and send B2G e-invoices. The recipient of the invoice must be aware of the issuance of e-invoices.

There are some exceptions to this:

• The issuer of the invoice from third countries does not have the technical capabilities to work with electronic invoices.
• The issuer of the invoice or the recipient of the invoice is a commune or association of communes; and
• The invoice amount is less than EUR 1,000 (VAT excluded)

E-invoices can be issued using:

• PEPPOL;
• Email; and
• Web uploading

In Saarland, B2G e-invoicing became mandatory from 1 January 2022

There are some exceptions to this:

• Invoicing for cash and immediate payments with a debt-discharging effect; and
• Amounts of EUR 1,000 or less.