Portugal fights money-laundering with new ownership register


In German tax law, when it comes to the depreciation of low-value assets, the taxpayer has two options:

Main practice is the immediate depreciation of low value assets with a value up till, or equal to, €410 until 31st December 2017. The threshold is raised to €800 from 1st January 2018. These amounts are net value, so the amount including VAT is €487.90 and €952.

Alternatively, assets with costs of acquisition between €150 and €1,000 can be pooled in a collective item. This item is subject to straight-lined depreciation over five years. Additional assets are added to the item, while low value asset disposals are disregarded for accounting purposes. The lower limit for recognition of a collective item will rise to €250 from 1st January 2018.

As a result, some taxpayers might be advised to postpone investments of up to €800 to 2018. The pooling method might become less lucrative in 2018.

Get in touch
Whatever your question our global team will point you in the right direction
Start the conversation

Sign up for HLB insights newsletters