Germany’s Mehrwertsteuer (MwSt) — literally “value-added tax” — is one of the federal government’s largest revenue sources and affects virtually every purchase made in the country. Whether you are a freelancer writing a client invoice, a small-business owner pricing products for the German market, a tourist reclaiming VAT at the airport, or simply a consumer trying to understand an itemised receipt, knowing how to add or remove MwSt at the correct rate is an everyday necessity.
This calculator handles both directions of the calculation: Add MwSt (net to gross) for when you know your pre-tax price and need the final consumer price, and Remove MwSt (gross to net) for when you have a tax-inclusive total and need to isolate the base amount and the tax component. Both calculations are exact and display to euro-cent precision.
How German MwSt works
Germany operates a multi-rate VAT system under the Umsatzsteuergesetz (UStG):
- 19% Regelsteuersatz (standard rate) — the default. Applies unless a specific exemption or reduced rate is listed in §12 Abs. 2 UStG.
- 7% ermäßigter Steuersatz (reduced rate) — legislated in §12 Abs. 2 UStG for socially important or culturally significant goods: basic foodstuffs, books, newspapers, passenger transport, hotel stays, cut flowers, and works of art.
- 0% / steuerfreie Umsätze (zero/exempt) — applies to exports outside the EU, intra-community (intra-EU) supplies to VAT-registered buyers in other member states, and certain sectors such as medical care, education, and financial services.
German VAT is collected by businesses at every stage of the supply chain. Each VAT-registered business charges MwSt on its sales (output tax) and deducts the MwSt paid on its own purchases (input tax, Vorsteuer). Only the net difference is remitted to the Finanzamt. End consumers — who cannot reclaim input tax — ultimately bear the full tax burden.
Worked example
A German web-design agency invoices a business client 2,000 EUR net for a website build at the 19% standard rate:
| Line | Amount |
|---|---|
| Net (Nettobetrag) | 2,000.00 EUR |
| MwSt 19% | 380.00 EUR |
| Gross (Bruttobetrag) | 2,380.00 EUR |
The same agency purchases a German-language textbook for professional development at the 7% reduced rate, listed on the receipt at 32.10 EUR gross:
| Line | Amount |
|---|---|
| Gross entered | 32.10 EUR |
| MwSt 7% (removed) | 2.10 EUR |
| Net | 30.00 EUR |
Note how the removal formula is: net = gross / 1.07, not gross multiplied by 0.93 — the latter introduces a small but material rounding error on larger invoices.
Germany MwSt rate table
| Category | Rate | Typical goods and services |
|---|---|---|
| Standard (Regelsteuersatz) | 19% | Electronics, clothing, cars, software, professional services, alcohol, restaurant drinks |
| Reduced (ermäßigter Steuersatz) | 7% | Groceries, books, newspapers, local bus/rail, hotel accommodation, cut flowers, art |
| Zero / Exempt | 0% | Exports, intra-EU B2B supplies, medical care, education, financial services |
Rates are correct as of 2026 under §12 UStG. The temporary COVID-era reduction from 19% to 16% and 7% to 5% (July–December 2020) has long since ended. Restaurant food reverted from 7% back to 19% on 1 January 2024.
This tool is for guidance only and is not tax advice. For transactions involving unusual goods, cross-border supplies, or Kleinunternehmer status, always verify with a licensed Steuerberater or the official BMF (Bundesministerium der Finanzen) guidance.