Value added tax calculator (vat.) 2022: net& calculate gross amounts online

adminonMay 26, 2022February 11, 2022Leave a Comment

2022 value-added tax calculator calculate value-added tax easily online

It is shown on every receipt: value added tax. There are different vat rates, which were also reduced in the corona crisis.

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What is the current value-added tax in germany and how can it be calculated?? use the vat calculator from wiwo and find out more.

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With the wirtschaftswoche’s value-added tax calculator, you can determine the applicable value-added tax (vat).) calculate. The VAT rate reduced at the beginning of the corona pandemic will no longer apply in 2022.

calculate value added tax and sales tax with the value added tax calculator 2022

How does the value added tax calculator work??

With the value added tax calculator 2022 you can easily calculate the difference between gross and net amount determine the value of a product. Please enter the gross amount before deduction of value added tax in the line above. In the field below you can then specify the current VAT rate and immediately you will see on the right the net amount calculated as a result.

With additional settings, you can not only calculate the amount with the German VAT rate, but also get a result for purchases from Austria or Switzerland with the respective VAT rate.

What is the value added tax?

The value-added tax is one of the most important sources of revenue for the german state. It is calculated on the basis of the added value of a product, which is transferred to the resale of the product. It is a pure consumer tax. For companies, this is not referred to as value-added tax, but as sales tax. It is determined by offsetting a company’s income against its expenses.

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In restaurants or pubs and bars, a lower VAT rate of seven percent is charged, in contrast to the retail trade. the value added tax rate of 19 percent applies to products of the retail trade.

What are the differences between value-added tax and sales tax??

The value added tax is a pure consumer tax and is due on every purchase that the consumer makes. It is divided into two different VAT rates: the regular VAT rate and the reduced vat rate. The regular VAT rate applies to most services and products, while the reduced VAT rate applies mainly to goods needed for everyday life. This includes basic foodstuffs, as well as food in restaurants or bars.

On each delivery or service of a company the sales tax levied. the goods purchased in advance by the company in question have already been taxed at the rate of sales tax for the supplier. This is then referred to as input tax designates. This also includes other costs, such as rent, electricity and repairs. Due to the value added tax act the company is now allowed to deduct the input tax paid from the sales tax received and only pay the difference to the tax office at the. As a result, only the value of the product is taxed, which results in a value added. The value-added tax thus only taxes the difference between the revenue for a delivery or service and the input services provided by other companies.

What is the value added tax 2022?

Since kY 2007, the value-added tax in germany has amounted to 19 percent. Due to the corona pandemic spreading around the world, the german federal government led by former chancellor angela merkel decided to temporarily suspend value-added tax until 31 December 2009. December 2020 to 16 percent to reduce it in order to create new incentives to buy. The reduced rate of value-added tax even fell from seven to five percent. Since the 1. January 2021 the usual VAT rates apply again.

Why was the value added tax reduced in the corona pandemic and who benefited from it?

Basically, the reduction of value added tax in germany should increase the buying mood of citizens, as goods and services became cheaper. The government at the time wanted to use the increased consumption to provide economic support for companies that had been hit by the corona crisis. The German economy was thus to be given a boost, from which various sectors ranging from gastronomy and service providers to automotive groups such as VW or daimler were to benefit.

Nio, geely, BYD: electric cars from Chinese manufacturers enter the EU market

Nio, geely, BYD competition for daimler, VW and BMW: Chinese electric carmakers are pushing into europe

Chinese automaker Geely aims to conquer the European market with the Polestar 2 electric car. Source: Reuters

chinese carmaker geely wants to conquer the european market with the polestar 2 electric car.

dusseldorf the days are over when the export hopes of chinese automakers such as landwind and brilliance were crushed in crash tests. Instead, the new electric car producers from the People’s Republic are securing top marks, such as most recently for the Polestar 2 electric model. The sedan, manufactured by joint venture partners volvo and geely, performed even better in the ADAC test than the e-volkswagen ID4.

this new reliability is part of the chinese government’s plan to make the country a leading exporter of electric vehicles. This is the conclusion of a new study by merics, a think tank specializing in china, which has been made available to handelsblatt in advance.

"europe is the most important market for chinese e-car exporters," says study author Gregor Sebastian. the fact that manufacturers such as polestar and great wall motors will be exhibiting at the international motor show (IAA) in munich next week also clearly shows their ambitions in the german market.

Already, every second electric car worldwide comes from china. According to data from the Chinese Automobile Association (CAAM), one million electric models rolled off the production line in the first half of the year, twice as many as in the previous year. A new record. By 2028, the number is expected to rise to eight million e-vehicles per year, estimates data provider LMC automotive.

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So far, however, most vehicles are sold in china itself. With around one million e-cars sold in the first half of the year, the country is the world’s largest market. Due to the high growth rates in recent years, local carmakers have focused on the domestic market. However, growth is slowing, partly because the government is continuing to cut the previously very high purchase premiums for electric vehicles.

The consolidation of the market is likely to be survived only by those of the 90 or so local e-car manufacturers that reach a certain size and thus achieve economies of scale, says expert sebastian. He considers the manufacturers BYD, geely, nio, SAIC and xpeng to be particularly promising. Some of these are likely to "catch on in europe as well," he believes.

Germany "highly interesting" for Chinese carmakers

As the world’s second-largest and fast-growing e-car sales market, europe is particularly promising for china’s manufacturers. For market entry, they mostly choose norway because the charging infrastructure is best developed there. But recently, nine percent of chinese e-car exports already went to germany.

"norway is just the beginning," said william li, head of chinese e-car newcomer nio, in a recent interview with the frankfurter allgemeine sonntagszeitung. The company is making intensive preparations for its entry into europe, "and germany is very interesting for us," he said. The vehicles should also be available here by the end of 2022 at the latest.

The polestar 2 e-model has been available in germany since mid-2020. The sedan was initially marketed exclusively via the internet. Meanwhile, the joint venture between geely and volvo has opened showrooms in major cities such as hamburg and munich. The brand is also presenting itself at the IAA.

Great Wall Motors will also be represented at the IAA with its e-car brands ora in the low-cost segment and wey in the luxury class. Starting in the fall, it will be possible to pre-order an SUV from the wey brand in germany.

the merics study identified four strategies used by chinese manufacturers to conquer european markets: pure exports from chinese production, exports plus a development or design center in the target market, production in the target market, and acquisition of a local manufacturer.

Geely in a good starting position for market success in europe

The "exports plus" strategy is used, for example, by nio. The Shanghai-based start-up opened its design center in munich in 2015, when it was still known as nextev, and recruited top-class experts from BMW and other companies.

Chinese manufacturers aiways, BAIC, chery, FAW, geely and great wall motor also have design or innovation centers in germany. However, the example of byton shows that this is no guarantee of success. Its German subsidiary filed for insolvency in april.

the established manufacturer geely has a good starting position for success in europe. Since taking over the swedish manufacturer volvo in 2010, the carmaker from hangzhou has a foothold in the european market. in 2017, geely founder li shufu bought a 9.7 percent stake in daimler, making it the largest single shareholder in stuttgart.

"geely’s global buying spree was supported by the chinese government," writes study author sebastian. The group uses volvo’s know-how and research and development capacities and has a european production facility. At the same time, the company benefits from its economies of scale and can cut costs in procurement and production.

Starting in the fall, an SUV from the great-wall brand will be available for pre-order in germany.

It pays off. The plug-in hybrid volvo XC40 was one of the four best-selling electrified models in europe in the first half of the year. Now the company wants to conquer the continent with the all-electric luxury brand Polestar. The company is also cooperating with daimler: the smart car will soon be built in china, and cooperation on engines is also on the way.

The export strategy is also supported by the respective provincial governments in china, in whose region sustainable jobs are to be created in this way. Just how far this can go became clear in 2019, when the municipal government of hefei saved nio from insolvency.

But it is not only the Chinese carmakers who stand to benefit from the Chinese government’s ambitious export targets. "as long as production takes place in their territory, local governments are not too interested in the ownership of their local champions," knows merics expert sebastian.

German manufacturers produce in china for china and the world

In line with this, audi emphasized in its strategy for the period up to 2030, which was presented last week, that it intends to expand the range of electric cars produced in china. According to the motto "in china for china," the local manufacturer is "actively driving innovation," said china boss werner eichhorn. parent company volkswagen also wants to focus more on electric customers in china. Companies like bosch and continental, which have a strong presence in china, are also benefiting from the new export strategy. For newcomers like nio, the share of foreign suppliers is 70 percent, estimates sebastian.

the german premium manufacturer BMW is even embraced by the city of shenyang in northeast china almost like a local company. According to the provincial government’s plans, the region is to become a major export location for the automotive industry with the help of BMW. The plan to produce the all-electric ix3 exclusively in shenyang and to export it from there to the rest of the world fits in with this.

BMW was also the first foreign manufacturer to acquire a majority stake in a joint venture in the automotive sector. From 2022, the BMW brilliance automotive (BBA) joint venture is to be fully consolidated on BMW’s balance sheet.

The all-electric model is to be produced exclusively in Shenyang and exported from there to the world. Source: Reuters

The all-electric model is to be produced exclusively in shenyang and exported from there to the rest of the world.

The end of the joint venture constraint for non-Chinese carmakers is an amazing turnaround in chinese industrial policy. Instead of creating national champions, the government is now pursuing the goal of "establishing global value chains," according to the study. At least for the time being. Expert sebastian assumes that "this decision is likely to be temporary".

In the long run, the Chinese leadership will probably not tolerate the high market shares of foreign manufacturers on the domestic market, but also in exports. Most recently, more than 90 percent of e-car exports from china were factories of the U.S. manufacturer tesla, which produces for the world market in a gigafactory in shanghai.

The automotive market is large and confusing. First of all, therefore, you should look at your own needs and narrow down your selection. If you have kids and maybe a dog, you’re more likely to be interested in a minivan or a large station wagon. If you are looking for status and lots of horsepower, you should focus on an SUV or a coupe. For singles and young couples in the city, small cars will probably come into question. They are maneuverable, offer storage space and fit into tight parking spaces. A convertible is a good choice as a second car for the summer. Once this basic decision has been made, the next step is to find suitable manufacturers and models. A good source for this are motor magazines and car blogs, but also driving tests on youtube.

Step 2: testing

At the end of the pre-selection process, a list of three to five favorites should be drawn up. In the next step, they are tested for heart and kidneys by the dealer. If you have small children, you should bring their stroller or car seat to the dealership to see if they will fit in the new car. The same applies, of course, to hobby surfers or skiers. The board or the equipment can be taken to the trunk test if you like.

In addition, another decision has to be made at this stage: a new car or a used car after all.

The arguments in favor of a new car:

Modern equipment and the latest safety systems

Color and equipment according to your own wishes

Long new car warranty

Damage and defects are unlikely

In favor of a used car

A good compromise is the purchase of an annual or workshop car. These have only a few kilometers on the odometer and often a good equipment. But they are still a lot cheaper than buying a new car.

Cheaper than a new car
Available immediately
Less depreciation than buying a new car

Caution: when buying a used car, a comprehensive practical check is very important to avoid unpleasant surprises. If you don’t know much about cars, you should take your friends and relatives along for a test drive.

Step 3: negotiate well

Whether used or new – when buying a car, you can and should negotiate without a guilty conscience. The number of new car purchases is declining, which is why there are often good offers and discounts available. But to really save money, a little preparation is necessary. If you know the prices on the market and the equipment details, you don’t have to pay too much in the end. Therefore, think carefully about which equipment is necessary and which is only incidental. Another tip: don’t reveal your price pain threshold too early and negotiate further if you get a generous discount – especially if the car dealer makes what is supposed to be a final offer very early on in the sales pitch.

Step 4: how do i finance my new car??

Once the desired car has been found, the question of financing the new car remains. The "easiest" variant is cash payment. The purchase price is paid in full, a loan is not necessary. This is the best option, especially when buying a used car. When it comes to buying a new car, on the other hand, the share of car financing is growing.

The classic installment loan is the most common form of car financing. The principle is very simple: the purchase price is divided into monthly installments, which the buyer pays until the entire vehicle is paid off. the monthly rate depends on the list price of the car, the down payment and the agreed term. If you decide to finance your car in installments, you should definitely compare the credit offers of your own bank with those of the car manufacturer. This saves a lot of money in case of doubt.

the balloon loan is a special form of installment loan. In the first step, the customer makes a down payment, then pays a monthly installment for three or four years, and finally he has the choice of returning the car, paying the rest of the purchase amount as a one-time final installment, or continuing to finance it with monthly installments. Caution: the final installment can be very high. A correspondingly large amount of money must be set aside for this.

A third option is leasing. The essential difference to classic car financing lies in the ownership relationship. With a leasing contract, you rent the car for a limited period of time, while the leasing provider remains the owner. The vehicle is returned at the end of the contract period. This variant is particularly worthwhile for companies and self-employed persons. You can claim the monthly leasing rates very well for tax purposes. Private individuals should take a closer look. It is often more expensive to lease a car than to finance it with a favorable loan.

A relatively new model is the car subscription. More and more car manufacturers and startups are offering an "all-inclusive" package. Repairs, insurance, taxes, TuV, everything is taken over. Customers only have to refuel themselves. Long contract terms are also eliminated. The disadvantage: the service has its price. The rates are often very high.