Current sales tax law

Current legislative changes (Annual Tax Act 2024 of 05.12.2024)

• Definition of work delivery.
• Place of performance.
• Tax exemptions.
• Reduced tax rate for works of art.
• Unauthorized tax statement in a credit note.
• Obligation to state "actual taxpayer" on the invoice.
• Date of input tax deduction from incoming invoices from actual taxable persons.
• Allocation of input tax amounts.
• Small business regulation.
• Sales taxation of legal entities under public law - extension of transitional regulations.

Fourth Bureaucracy Relief Act of 23.10.2024

• Reduction of the obligation to retain invoices.
• Change in the submission of advance notifications.
• Differential taxation Change in value limit Total difference.

Legislative changes 2023 - Growth Opportunities Act

• Mandatory use of the electronic invoice.
• Changes to the pre-registration procedure.
• Various changes/additions to reverse charge, tax rates, tax exemptions, average rates, small businesses.

Outlook on planned EU changes (VAT Directive): ViDA (VAT in the digital age) 

Current case law

Further changes to VAT legislation and application regulations by the tax authorities

BMF letter/VAT application decree

• In particular BMF letter dated 15.10.2024 on the mandatory introduction of electronic invoicing.

The invoice in business practice

Permanent problem areas of everyday sales tax

• Requirements for retroactive invoice correction, proof for intra-Community supplies, strict requirements for information in invoices, input tax deduction for mixed-use buildings (if required).
• Extension of the reverse charge procedure.
• Reverse charge procedure, declaration and invoicing obligations (schematic).
• Requirements for electronic invoices.
• Intra-Community supply/acquisition (schematic).
• Confirmation procedure for foreign VAT ID numbers.
• Retroactive effect of invoice correction, electronic invoice, time of performance, credit notes, liability of the invoice issuer.
• Mandatory information in the invoice - brief overview