VAT Newsletter 20/2025
Splitting up the total price of a Meal Deal: When is an apportionment appropriate?
For years, a perennial issue in VAT audits has been which method is appropriate to use for the breakdown of remuneration. In principle, taxable persons are free to choose the apportionment method, provided that it is appropriate. But what exactly does “appropriate” mean? The German Federal Fiscal Court (BFH) has now ruled on the apportionment of flat-rate prices for Meal Deals, determining when an apportionment, based on the cost of goods, is not appropriate.
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