© Institute for Digitalization in Tax Law
The IDSt has taken the opportunity, at the request of the Federal Ministry of Finance (BMF), to provide its position on the draft law aimed at strengthening growth opportunities, investments, innovations, as well as tax simplification and fairness, known as the “Wachstumschancengesetz”.
The statement primarily focuses on the proposed changes to the Value Added Tax Act in the context of introducing electronic invoicing for B2B transactions, as well as other topics directly related to digitalization.
The IDSt highly values the suggested amendments to §14 UStG, which introduce electronic invoicing using structured data in the intercompany sector. This innovation will bring a significant boost to digitalization and efficiency gains in the accounting processes of German companies, particularly in accounts payable and accounts receivable management.
However, the IDSt expresses grave concern over the planned discontinuation of the EDI process from the year 2027. This well-established procedure, in use for decades, would no longer be available, leading to substantial losses of investments made by businesses.
The statement also addresses digitalization-related aspects of the newly regulated donation deduction process, particularly the donation recipient register according to §60b AO-E, as well as cash register reporting according to §146a para. 4 AO-E.
We extend our gratitude to Committee III for their strong dedication and hope that our statement will provide valuable input for the further legislative process, especially concerning electronic invoicing. We also express our heartfelt thanks to the IDSt members who contributed to our insights on other digitalization topics!
The complete statement is available for download below.
