On 9 April 2026, the German Federal Ministry of Finance (Bundesministerium der Finanzen) published a circular amending the VAT Application Decree, which provides the administrative guidance on the application of VAT law, specifically with regard to the entrepreneurship status of tenancies in common (Bruchteilsgemeinschaften) and other entities without legal capacity.
In a recent decision the Supreme Tax Court dealt with the provision of services by public bodies under German VAT law. If the economic activities of a public body are not outstanding and distinct from its overall activities it is not a taxable business for VAT and thus not eligible to deduct input VAT incurred on the underlying costs.
The Supreme Tax Court has turned to the ECJ with a preliminary question on the Sixth Directive requirement for the VAT ID of the immediate non-community customer of goods delivered to an EU end user.
