Commercial letting and the option to charge VAT in Germany
Rent for land and buildings is normally exempt from VAT, which is exactly why the input tax on construction and upkeep is lost. The first module shows the four cases that are taxable anyway, the two hurdles of waiving the exemption under section 9 UStG, the rule for older buildings and how the option is put into the lease and the invoice. The second covers the risks that follow: a change of tenant with a ten-year input tax adjustment, apportionment in mixed-use buildings and the sale, exempt, opted with the buyer liable for the tax, or as a transfer of a going concern.
Advanced2 modules47 minModule 1 free to read
2026 rules — verified on September 23, 2026
Figures are tied to dated, sourced tax constants. A module whose rules have changed is flagged for review, and is unpublished automatically beyond 90 days.
By the end of this course, you can…
These outcomes are the modules' own: the promise cannot say anything the course does not teach.
- recognise which ways of letting land section 4 no. 12 UStG exempts and which four cases are taxable nonetheless
- test the two hurdles of the waiver under section 9 UStG: the tenant is a business, and it uses the space for supplies that allow input tax deduction
- apply the rule for older buildings in section 27(2) UStG, which removes the second hurdle for certain properties
- put the option into the lease and the invoice so that neither an unauthorised VAT charge nor a lost deduction arises
- quantify what the waiver gives the landlord and why it costs the right tenant nothing
- recognise when a change of tenant ends the option and so triggers an input tax adjustment
- estimate the size of the risk over the ten-year adjustment period for buildings
- allocate and apportion the input tax of a mixed-use building under section 15(4) UStG
- distinguish, on a sale, between an exempt supply, an option in the purchase contract and a transfer of a going concern
- explain why the buyer owes the VAT on an opted sale of land
The programme, module by module
Each module has its own page. Durations are derived from the actual text, never announced by hand.
- Module 124 minFree — no accountExempt rent and waiving the exemption: who may opt for VAT and whyWhat you will be able to do
- recognise which ways of letting land section 4 no. 12 UStG exempts and which four cases are taxable nonetheless
- test the two hurdles of the waiver under section 9 UStG: the tenant is a business, and it uses the space for supplies that allow input tax deduction
- apply the rule for older buildings in section 27(2) UStG, which removes the second hurdle for certain properties
- put the option into the lease and the invoice so that neither an unauthorised VAT charge nor a lost deduction arises
- quantify what the waiver gives the landlord and why it costs the right tenant nothing
- Module 223 minIncluded in the full courseAfter the option: change of tenant, mixed-use buildings and the saleWhat you will be able to do
- recognise when a change of tenant ends the option and so triggers an input tax adjustment
- estimate the size of the risk over the ten-year adjustment period for buildings
- allocate and apportion the input tax of a mixed-use building under section 15(4) UStG
- distinguish, on a sale, between an exempt supply, an option in the purchase contract and a transfer of a going concern
- explain why the buyer owes the VAT on an opted sale of land
What you take away
A handout you keep, not just a page you read. The sections are derived from the course itself: what is announced here is exactly what gets generated.
Participant handout (PDF)
PDF
- Learning objectives (2)
- Key figures (6)
- Mistakes to avoid (2)
- Official sources (2)
Exercise workbook (Word)
Word
- Learning objectives (2)
- Key figures (6)
- Mistakes to avoid (2)
- Official sources (2)
Answers live in a separate appendix: the participant handout and the workbook stay distributable before the exercise.
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Educational content, current with the sources cited. It does not replace advice tailored to your situation. These courses are neither certifying nor CPF-eligible: they prepare for no certification registered with the French RNCP or specific register.