In a 7 March 2022 decision, published on 19 May 2022, Germany’s Federal Fiscal Court (BFH) ruled that it is uncertain whether the German “apportionment requirement” for supplies of accommodation services and ancillary services is in line with EU law. Based on the apportionment requirement, services that are not directly linked to the accommodation are ineligible for the reduced VAT rate that applies to accommodation services.
Source: Deloitte
