- The Federal Fiscal Court (BFH) had to address the question of whether the paid waiver of a contractual delivery right by a farmer is subject to the average rate taxation according to § 24 para. 1 sentence 1 no. 3 UStG.
- The waiver of a farmer’s contractual delivery right (by agreeing to the premature termination of a contract for the delivery of food) against a “compensation payment” is taxable and does not fall under the average rate taxation according to § 24 UStG.
- A partnership (GbR) entered into a contract with a GmbH & Co.KG for the delivery of 70% of the food produced by the partnership (field salad, rocket, spring onions, wild herbs, leaf lettuce).
- The partnership had a delivery obligation and the GmbH & Co.KG had a purchase obligation.
- The contract could be terminated for the first time on December 31, 2015.
- The deliveries of the partnership were made using the average rate according to § 24 para. 1 sentence 1 no. 3 UStG.
- This contract was terminated on May 31, 2013.
- The GmbH & Co.KG then paid a “compensation payment” to the partnership to compensate for the losses resulting from the premature termination of the contract, using the average rate according to § 24 para. 1 sentence 1 no. 3 UStG.
Source: datenbank.nwb.de
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
