Who counts as a small business, and what decides it — Using the German small business VAT rule

Test yourself

Question 1 of 5

Which two amounts does § 19 (1) sentence 1 UStG name for a business established in Germany?

22 000 euros for the previous year and 50 000 euros for the current one25 000 euros for the preceding and 100 000 euros for the current calendar year100 000 euros once, averaged across two calendar years25 000 euros, the same in both calendar years

Question 2 of 5

A small business sells a machine from its capital assets during the test year. How does that affect the Gesamtumsatz?

The proceeds are left out of the computation of the GesamtumsatzThe proceeds count at half their valueThe proceeds count in fullThe proceeds count only where they exceed 5 000 euros

Question 3 of 5

Why is the first condition already settled on 1 January while the second is not?

Because the tax office certifies the first condition in advanceBecause the second condition applies only to new businessesBecause the first refers to a closed calendar year while the second accompanies the running oneBecause the second condition bites only from the second year of trading

Question 4 of 5

Which figure governs for a business established elsewhere in the Community?

the German Gesamtumsatz under § 19 (2) UStGthe profit of the preceding financial yearthe turnover of the German fixed establishment alonethe Community-wide annual turnover under Article 288 of Directive 2006/112/EC

Question 5 of 5

To which supply does the exemption under subsection 1 expressly not apply?

supplies from an independent artistic activityintra-Community supplies of new vehiclessupplies to private customers within Germanysupplies from the letting of premises