- BMF guidance of 12 June 2024 addresses input VAT deduction for legal entities under public law (LEPL) active in business
- Scope of application of 2b UStG, effective from 1 January 2017
- Transition provision in 27 (22) UStG allowed LEPL to continue applying previous law for supplies before 1 January 2021
- Corona Tax Relief Law of 19 June 2020 expanded transition provision to supplies after 31 December 2020 and before 1 January 2023
- German Annual Tax Act 2022 introduced optional transition limit for application of 2b UStG until 31 December 2024
- Government draft of German Annual Tax Act 2024 proposes extension of transition provision until 2026.
Source: assets.kpmg.com
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.
