German Ministry Analyzes Effects of VAT Reduction

According to a report from Reuters, the German Economic Ministry has recently been analyzing a possible reduction in the country’s 19% VAT rate, as part of a larger analysis of German trade surpluses. A ministry spokesperson did not deny the report, but stated that a VAT reduction would have a minimal effect on existing surpluses, and that increasing investment in Germany should be a higher priority. Germany has faced criticism from the United States government over its trade policy; any VAT reform, however, is unlikely to occur prior to the German national elections in September.  

The post German Ministry Analyzes Effects of VAT Reduction appeared first on Sovos.

Sign up for Email Updates

Stay up to date with the latest tax and compliance updates that may impact your business.

Author

Charles Riordan

Charles Riordan is a member of the Tax Research team at Sovos Compliance specializing in international taxation, with a focus on Value Added Tax systems in the European Union. Charles received his J.D. from Boston College Law School in 2013 and is an active member of the Massachusetts Bar.
Share This Post