Vat rate reduction on handicraft achievements for 2006-2010
28 Feb '06
3 min read
Handwerkskammer für Oberfranken informed that on 1 February 2006 the 25 European Ministers of Finance decided that the reduced VAT rate for handicraft achievements can be used limited from 2006 to 2010 in the entire European Union, also in Germany.
For this the Federal Government to at the end of would have to place March 2006 a request at the European commission in Brussels. 20 of the 25 European member states will set this request and will make possible thereby reduced VAT rates to certain handicraft achievements.
After hearing the Federal Cabinet wants the rise of the value added tax around 3 percent-points already on 22 February 2006 in the framework one sucked. Haushaltsbegleitgesetzes 2006 decide. Before this background the Handwerkskammer für Oberfranken (HWK) for Upper Franconia in an open letter to the Federal Government turns and refers (see beifgefuegte word file) there among other things also to successes of a reduced VAT rate in France.
In its coalition contract the Federal Government agreed upon to set by a stabilization of handicraft and middle class impulses for growth and occupation. The concretely agreed upon measures decreasing/going back to suggestions of the handicraft (fiscal removability of modernization and renovation measures, CO2-Gebaeudesanierungsprogramm, entrance for actual taxation with the value added tax, melting that inheritance-expensively) by us are expressly welcomed.
In contrast to this the rise of thevalue added tax intended by the Federal Government will counter productive affect itself to 01.01.2007 around 3 %-points as heavy load for our enterprises and their persons employed and thus. A further increase of the moonlighting and a loss of the purchasing power the consequence will be.
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