What is German VAT registration? German VAT registration review

What is German VAT registration? German VAT registration review
VAT is the abbreviation of Value Added Tax, which is a post-sale value-added tax commonly used in EU countries, that is, the profit tax on the sales price of goods. When goods enter Germany (according to EU law), the goods are subject to import tax ; when the goods are sold, the merchant can refund the import value-added tax IMPROT VAT, and then pay the corresponding sales tax SALES VAT based on the sales amount.

1. Three situations where you must apply for German VAT

1. Sellers from EU member states, as long as annual sales exceed 81,000;

2. For sellers who are not members of the European Union, as long as the final delivery of your goods is sent from the local country, you must register for VAT and declare and pay sales tax in accordance with regulations when using EU warehousing;

3. Sellers who ship goods from EU member states other than their local countries to local countries and whose sales in a calendar year exceed 70,000 pounds (UK), 100,000 euros (Germany), 35,000 euros (Italy, France, Spain), 160,000 zlotys (Poland), or 114,000 kronor need to declare and pay VAT.


2. Information required for German VAT registration

1. Business license;

2. The front and back of the ID card of the company's legal representative;

3. Tax ID application form;

4. Letter of authorization.


3. German VAT application process

1. Sign a service agreement;

2. Submit the following documents and application form:

3. Start the application. The application time depends on the submitted materials and the efficiency of the German tax bureau;

4. The customer obtains the VAT certificate document and EORI number;

5. The service ends.


4. Frequently asked questions about German VAT registration

Q1: I have already applied for an EORI number in the UK. Do I still need to apply in Germany?

The EORI number is a unique identification code for sellers in the EU customs, which is used when clearing goods. It is universal within the EU and does not need to be reapplied for. If you have applied in the UK, you do not need to apply again in other EU countries.

Q2: What is the VAT tax rate in Germany? Does Germany also have a low tax rate?

Germany has a low tax rate of 7%, but this low tax rate only applies to books, newspapers, food and agricultural products. In addition, Germany also has a standard tax rate of 19%, which applies to most other products and services.

Q3: Can I use someone else’s VAT number to upload to Amazon, or can I bind one VAT number to multiple Amazon accounts?

No! First of all, each VAT number is unique, and sellers should apply for their own real and valid VAT number. If a VAT number is bound to multiple accounts, it will cause account association. Amazon will think that these accounts belong to the same operator or the same company, and there will be joint risks for multiple accounts. You must not do this.

References

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