New EU SME Scheme
The new EU small and medium enterprises scheme (SME scheme) allows small entrepreneurs based in the EU to make use of the small business regulations of other EU member states, provided that the relevant thresholds are not exceeded.
For Germany, the legal requirements were created with the Annual Tax Act 2024.
EU Commission Portal
The EU Commission has provided an information portal for small businesses with:
- Detailed presentation of requirements and consequences
- SME-on-the-web tool to check small business identification numbers
- Guidelines from the VAT Committee
- Guidelines from the EU Commission for detailed questions
- A guide available in German and other languages
Portal Features
The portal includes:
- Requirements and consequences of the small business regulation
- SME identification number verification tool
- VAT Committee guidelines on the new regime
- EU Commission guidelines for detailed questions
What's Still Missing
The portal is not yet complete:
- The "simulator" tool (to assess eligibility) is still pending
- Information on individual member states' small business regulations is incomplete
Important Disclaimer
The regulations in the guidelines and guide are not legally binding. The information should not be a substitute for professional tax advice.