In a single sentence, the BMF has stated in a letter dated 29 January 2021 that Section 25 UStG is not applicable to travel services provided by traders with their registered office in a third country and without a fixed establishment in the Community territory. According to the BMF letter of 29 January 2021, this regulation is to be applied in all open cases, whereby it is not objected if third-country traders still apply the special regulation of § 25 UStG to travel services performed until 31 December 2020.
In a letter dated 29 March 2021, the BMF extended the non-objection rule until 31 December 2021. This means that entrepreneurs from third countries can continue to apply the margin taxation for for travel services exported in the calendar year 2021.
In a letter dated 1 December 2021, the BMF extended again the non-objection rule, this time until 31 December 2022. This means that entrepreneurs from third countries can continue to apply the margin taxation for for travel services exported in the calendar year 2022.
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