The Finance Minister and Federal Economics Minister on 13 March 2020 presented a package of measures to address the effects of coronavirus (COVID-19).
The measures also include the following tax relief provisions to enhance liquidity for companies:
The agencies that administer the energy tax and air travel tax as well as value added tax (VAT) were directed to grant appropriate relief measures.
Additional measures being discussed include proposals for partial repeal of the solidarity surcharge or improved depreciation schedules, but are not part of the 13 March package of measures. Nevertheless, a coalition committee decided on 8 March 2020 on other tax policy measures to strengthen the economy, such as:
The currently planned tax measures can be implemented through administrative procedures; legislative action is not required. However, coordination with the Länder (Federal states) is necessary and has already been initiated by the Federal Ministry of Finance. Both the package of measures of
13 March 2020 and the coalition decision of 8 March 2020 are available on the website of the Federal Ministry of Finance.
Taxpayers seeking to invoke these relief measures need to submit an application with the responsible tax office.
Read a March 2020 report [PDF 98 KB] prepared by the KPMG member firm in Germany
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