Tax exemption for PV systems from 01.01.2023
So far, the operation of photovoltaic systems was associated with a disproportionate number of bureaucratic hurdles. To ensure that the expansion of renewable energies does not continue to falter and the goals set by the state become unattainable, some major changes have been made for 2023.
How it looked before with the taxation
To put it succinctly: where plant owners have not consulted a tax advisor or have taken the trouble to submit the necessary declarations themselves, reference has been made to the standard tax rate of 19%. This meant that electricity deliveries and self-consumed electricity had to be taxed, but also made it possible to get an input tax deduction from the usually high investment costs and thus cover part of the financing. From 2023 this bureaucratic hurdle will be a thing of the past.
Important changes from 2023
- Tax exemption for small PV systems
Small photovoltaic systems, i.e. PV systems with an installed total gross output of up to 30 kWp, which are located on or on single-family/multi-family houses (including roofs on garages, carports and other outbuildings) or residential and commercial units that are mainly used for residential purposes ( but then maximum output per residential/commercial unit 15 kWp) are automatically no longer taxed from 01.01.23. This applies to both sales tax and income tax. Private landlords, cooperatives, homeowners associations and rental companies benefit in particular from the systems on/on residential and commercial units.
Furthermore, the tax exemption also applies to the operation of several small systems. The only important thing here is that the combined maximum output does not exceed 100 kWp. This limit applies per taxable person/corporation.
Also interesting to know: The tax exemption comes into force even if 100% of the electricity is fed into the public grid or 100% is consumed by any tenants or a private or business electric car is charged with it.
- Income tax
The obligation to submit a profit calculation (e.g. income surplus calculation) and other declarations is completely and automatically omitted for small systems.
- Value added tax
The aforementioned 19% tax rate on delivery (and purchase of all necessary components), import, acquisition and installation will no longer apply from 2023 and will be replaced by a sales tax rate of 0% (net = gross).
The new regulations of the federal government result in enormous tax and bureaucratic relief for system owners. So if you've been thinking about investing in photovoltaics, start today! SecondSol will be happy to support you in your project!