- Guidelines for Deductible Input Tax: The BMF outlines the fundamental principles for determining deductible input tax amounts, including the allocation of input tax and record-keeping obligations for businesses, specifically focusing on credit institutions.
- Input Tax Allocation for Credit Institutions: The BMF provides detailed instructions on distinguishing between business and non-business activities, assigning business-related input services to output sales, and exploring segmentation as a method for allocation, along with other allocation methods and criteria.
- Cross-Border Structures and VAT Changes: The document addresses cross-border corporate structures in the banking sector, including the treatment of domestic branches of foreign banks and foreign branches of domestic banks, while also indicating that businesses can rely on prior BMF guidelines until the end of 2025, provided conditions are met and no conflicting guidelines are published.
Source: bundesfinanzministerium.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.
