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The EU rejected Berlin’s request to exempt the natural gas levy from VAT

The EU rejected Berlin’s request to exempt the natural gas levy from VAT

The European Union today rejected the German request to exempt the “natural gas levy” from the general VAT. “There is no possibility of an exception to this type of tax,” said a representative of the European Commission.

The German finance ministry had asked the EU not to apply general VAT to the 2.419 cent/kWh increase in order to mitigate the new burden on consumers. According to the calculations of the website Check24, for a household of four people with a consumption of 20,000 kWh, this, if there is no further relief, means an additional cost of 570 euros/year.

However, the EU stated that it wants to find a solution together with Berlin so that the end customer has a corresponding relief. Finance Minister Christian Lindner had also assured that if the EU did not accept the exemption, consumers would be compensated in other ways.

Source: Capital