Business, tax and funding
small-business rule
In short and in plain language
The small-business rule is for firms with a low turnover.
It is part of the German law on value added tax. If set conditions are met, these firms do not charge this tax.
Those who use it give prices without the tax. They say so on bills and often on the website too.
Definition
A rule in the German VAT Act under which businesses with a low turnover do not charge VAT, provided certain conditions are met. Those who use it quote prices without VAT and point this out on invoices and often on the website as well.