Since the beginning of the year, solar systems for private households have become significantly cheaper and more profitable. The reason for this is the elimination of value added tax and income tax – but the whole thing also has a small catch.
Solar energy is clean and protects the environment, which is why the state subsidizes it in various ways. The remuneration rates for full feed-in have already increased since the beginning of the year. Billing has also become much easier due to the elimination of the EEG surcharge.
However, further improvements have so far flown under the radar: since January, VAT has been eliminated on the purchase of solar systems, and income tax on income from the operation of photovoltaic systems has also been eliminated. All important information can be found here.
With the change in the law, there is a new sales tax rate of zero percent for PV systems with an output of up to 30 kilowatts. This also applies to the delivery and installation with accessories and memory.
Photovoltaic systems, whether on the roof or on the balcony, are calculated to be about 16 percent cheaper – actually. It remains to be seen whether the benefits will be passed on to end customers in full. Because some traders could simply raise prices in return to increase their profit margin.
Also positive: The innovation finally means less bureaucracy: For example, you no longer have to do without the small business regulation in order to be able to get back the VAT from the tax office. Because you don’t have to pay them anymore.
The income tax exemption applies to systems with an output of up to 30 kilowatt peak (kWp) on single-family homes and other buildings. In multi-family houses it is 15 kWp per residential unit.
Best of all, the new regulation applies equally to new and existing systems. So even those who already have a solar system benefit. In addition, the exemption already applies to 2022, so you can already take this into account for the tax return of the previous year.
But there is a catch, because depreciation and costs can no longer be claimed for tax purposes.
In addition, there is now a new sales tax rate of zero percent, so that savings can also be made here. This applies to delivery and installation with accessories and memory from January 1, 2023.
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Under the previous regime, users could switch to the small business regime after five years, which also eliminated income tax. So not that much will change for long-time owners of photovoltaics.
In addition, some suppliers of solar systems may increase the prices of their products. As a result, it is quite possible that the prices for the end consumer will fall only slightly, but that the companies will have a larger profit margin.
Therefore, before purchasing a solar system, check carefully whether it is worthwhile in your case.