Zero VAT for PV systems

The Annual Tax Act 2022 was still in the legislative process at the time this information was created. Among other things, Article 9 of the draft proposed an amendment to Section 12 of the German VAT Act (UStG).

(3) “The tax shall be reduced to 0 percent for the following sales:

1. The supply of solar modules to the operator of a photovoltaic system, including the components essential for the operation of a photovoltaic system and the storage systems used to store the electricity generated by the solar modules, if the photovoltaic system is installed on or near private residences, apartments, and public and other buildings used for activities serving the common good. The conditions of sentence 1 are deemed to be met if the installed gross capacity of the photovoltaic system, according to the market master data register, does not exceed or will not exceed 30 kilowatts (peak).
2. the intra-Community acquisition of the goods referred to in point 1 which meet the conditions of point 1;
3. the import of the items referred to in point 1 which meet the requirements of point 1;
4. the installation of photovoltaic systems and the storage facilities used to store the electricity generated by solar modules, provided that the delivery of the installed components meets the requirements of number 1.”