Small-business scheme (§19 UStG)

§19 of the German VAT Act (Umsatzsteuergesetz) lets you register as a business seller but skip charging VAT — provided you stay under the volume thresholds.

The thresholds (Germany)

• Prior year revenue: under €22,000 (effective 2026 — the threshold was raised from €17,500 in earlier years; check the current figure with your Steuerberater)
• Current year projected revenue: under €50,000

If you stay below both, you qualify for §19 status. You declare it on your tax registration form (Fragebogen zur steuerlichen Erfassung).

What changes if you opt for §19

• You do not charge VAT on your sales.
• Your invoices show the net price only — no VAT amount.
• You must include a reference to §19 on every invoice: "Gemäß §19 UStG enthält der Rechnungsbetrag keine Umsatzsteuer" (or similar wording).
• You cannot reclaim VAT you paid on your business expenses (no Vorsteuerabzug).
• You file simplified annual tax returns.

When §19 is a good fit

• You are a side-seller with modest volume
• Your buyers are mostly private (consumers) — they don't care that they aren't getting a VAT invoice
• Your input costs (records you buy to resell, shipping supplies, etc.) are low — so the missed VAT reclaim doesn't hurt

When §19 is not a good fit

• You sell mostly to other businesses who want a VAT invoice for their own reclaim
• You have meaningful input VAT to reclaim (e.g., you're regularly buying €5,000 in records to resell)
• You expect to cross the threshold soon — switching mid-year is messy

You can voluntarily opt out of §19 and become a regular VAT-registered seller. Once out, you are bound for 5 years.

Invoices under §19

A valid §19 invoice still needs:

• Your name and address (and business name if different)
• Your tax number (Steuernummer)
• The buyer's name and address
• Invoice date and invoice number
• Description and quantity of items
• The price (net = gross, because no VAT)
• A line referencing §19 UStG

You don't need to show a VAT-ID (USt-IdNr.) on a §19 invoice — that's for VAT-registered businesses.

On the platform

You select "Kleinunternehmer (§19 UStG)" as your seller type when applying. The platform marks your listings accordingly and uses the right invoice template. Buyers see the seller type on every listing.

The 14-day right of withdrawal still applies to your sales (you are a business selling to consumers, even if you don't charge VAT). See Cancellation & returns for business sellers.

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This is general information, not tax advice. The exact wording of your §19 invoice notice, the current thresholds and your eligibility depend on your situation and the latest tax law. Consult a Steuerberater (tax advisor) for binding guidance.