Temporary VAT reduction by 3% until 31.12.2020

In my opinion, 16%. It remains unclear who is allowed to pocket the 3%.

In my opinion 16%. It remains unclear who gets to pocket the 3%.

Thanks for the quick feedback. Curious to see what will be on the bill soon.

It very much depends on the specific details in this case. You can initially try to persuade the window manufacturer to retroactively apply the 16% rate to everything. If the tax office should ever complain to him, you just have to credibly assure him that you will pay a corresponding supplement. In such a borderline case, it is better to first argue for the lower tax rate; there would certainly be arguments in favor of that. Otherwise, I refer you to the window manufacturer's tax advisor.

A small update from us, maybe it will also give others hope who have the acceptance in the 2nd half of 2020

We are building with a general contractor, with 10 progress payments according to construction progress (x% after shell construction, x% after facade, x% after painting works, ...). Of these, 9 payments have already been invoiced and paid with 19% VAT, only the final installment is still outstanding. Final acceptance is planned for August/September.

Since the performance date = acceptance falls into the period of 16% VAT, the total amount (contract sum net) will be taxed at 16% for us. The difference, i.e. what we have "overpaid" on the previous installments, will be deducted from the final invoice. This means it will be only half as high as expected, saving around €10,000

I also spoke earlier with my heating and plumbing company. The bathroom was done in the first half of the year, but there is still a small remaining job to be done in the coming weeks. According to the statement, the entire invoice will then be taxed at 16%, even if we have already paid installments before. You really appreciate the amount that adds up ☺️

My GC has refused to turn the flat-rate contract into a contract covering several partial services. I consider acceptance by 12/31 unlikely. At least I am removing the window trade, which can probably still be completed by 12/31...