The new "promotion model" is regulated by Section 28 (62) of the Value Added Tax Act 1994. Here is the complete Paragraph to read. Only if all the following criteria are met, we are authorized to issue the invoice with 0% VAT.

 

  • Purchase of the photovoltaic module
  • Buyer is also the operator of the system
  • The bottleneck power of the photovoltaic system does not exceed 35 kilowatts (peak)
  • The photovoltaic system is installed in the vicinity of or on buildings that are
    • for residential purposes (on existing buildings or on structures on the same property)
    • are used by corporations under public law or
    • are used by corporations or non-profit, charitable or ecclesiastical associations of persons and assets.
  • No application submitted by 31.12.2023 for an investment subsidy under the Renewable Energies Expansion Act

 

Otherwise, the normal 20% taxation applies. We must also be able to confirm this to the tax authorities. This measure applies from January 1, 2024 up to and including December 31, 2025. As described above, only the purchase of modules is tax-privileged. However, products that do not represent an end in themselves for the purchaser, but rather a means of operating a photovoltaic system, share the same fate for VAT purposes. This means If mounting material, storage, inverter, solar cable etc. are also purchased with the purchase of the modules and if the above criteria are met, this is all subsidized and we will issue a 0% VAT invoice. The Simply retrofitting a storage system an existing system is subject to the standard tax rate. 

Please note: If the system is expanded with modules and storage, the total capacity of the retrofitted storage must not disproportionately exceed the capacity of the subsequently purchased photovoltaic modules. If this is the case, the entire storage system is not eligible for funding. However, if the total capacity of the purchased storage system does not exceed the capacity of the purchased photovoltaic modules by more than double, proportionality must be assumed

How do you purchase from us? If you fulfill the criteria, we ask you to contact before payment. You get a Documentwhich you should sign and return to us. We will then issue you with an invoice without VAT so that you can benefit from the preferential rate immediately and do not have to wait for us to transfer the money back to you.