Changed tax treatment of guarantee commitments
Through the release of various circulars, the German Federal Ministry of Finance has issued comments on the various VAT and Insurance
Premium Tax (IPT) consequences of guarantee commitments. More recently the Ministry has once again extended the implementation period on the IPT and VAT treatment of seller’s/dealer’s guarantee commitments in return for payment offered in connection with sales contracts or contracts for work and services.
See our Newsflashes!