Mediation and taxes
April 16, 2013 | 25,00 EUR | answered by Dipl.-Kfm. Frank-Olaf Illiges
Hello,
I would like to broker luxury items (vehicles, helicopters, yachts, etc.).
This means that I would offer them and after a sale, I would invoice the actual seller.
Since the items are quite expensive, I may not qualify for the small business regulation even with just a few sales.
Since I unfortunately have no knowledge of tax law, my question is, how do I need to tax the whole process?
Do I issue invoices with value-added tax? What do I need to declare to the tax authorities?
Can I offer the items with value-added tax even though they come from a private sale?
So many questions...
I thank you in advance and remain
sincerely
Daniel H.
Dear inquirer,
Thank you for your inquiry, which I will gladly answer, taking into account your contribution as well as the rules of this platform.
Please note that my explanation is based on the facts presented, and that adding, omitting, changing information, or the ambiguity of information can change the tax result.
The other service in the form of your brokerage service, which you provide for a fee within your company in Germany, is subject to value-added tax (§ 1 para. 1 no. 1 Value Added Tax Act (UStG). If you cannot claim the small business tax exemption of § 19 para. 1 UStG, you must show 19% value-added tax on your invoice to your client, where you calculate your brokerage fee, and remit it to the tax office. At the same time, you can claim the value-added tax that other entrepreneurs charge you for services related to your brokerage service as input tax (§ 15 para. 1 no. 1 UStG).
As I can see from your description, you only broker the sale of luxury goods. Therefore, you can only charge your client for the brokerage service. The sale of the items then takes place between your client (= seller) and the buyer of the item.
Best regards,
Dipl.-Kfm. Frank-Olaf Illiges
Tax consultant
Am Wieksbach 55
33378 Rheda-Wiedenbrück
Phone: 05242/4055666
Fax: 05242/4055677
e-mail: office@illiges-steuerberatung.de
Internet: www.illiges-steuerberatung.de
