Small-business calculator
Check in seconds whether you can use the German small-business rule (§ 19 UStG) – free and without sign-up.
Check the limits
Limit: €25,000
Limit: €100,000
Small-business rule possible
You can use the small-business rule under § 19 UStG and do not have to charge VAT.
Note: total turnover is decisive. This is non-binding guidance and does not replace tax advice.
How the small-business rule works
The small-business rule under § 19 UStG exempts entrepreneurs with low turnover from charging VAT. This greatly simplifies invoicing and VAT returns. In return, no input-VAT deduction on purchases is possible.
Since 2025 there are two limits: previous-year turnover may not exceed €25,000 and current-year turnover may not exceed €100,000. Unlike before, the small-business status ends immediately once the current-year limit of €100,000 is exceeded – standard taxation applies from the transaction that exceeds it.
On invoices, small businesses add a note such as "No VAT charged pursuant to § 19 UStG". Important: since 2025 small businesses must also be able to receive e-invoices, but are exempt from issuing them.
Frequently asked questions
What is the small-business rule?
Under § 19 UStG, entrepreneurs with low turnover can waive charging VAT. They write invoices without VAT but, in return, cannot deduct input VAT on purchases.
Which turnover limits apply since 2025?
Since 1 January 2025: previous-year turnover may not exceed €25,000 and current-year turnover may not exceed €100,000. If the current-year limit is exceeded, standard taxation applies from the transaction that exceeds it.
What applies to founders in the first year?
In the founding year there is no previous-year turnover. What matters then is that the expected current-year turnover does not exceed €25,000.
Do I have to add a note on the invoice?
Yes. On small-business invoices you add a note such as "No VAT charged pursuant to § 19 UStG".
Must small businesses be able to receive e-invoices?
Yes. Since 2025 even small businesses must be able to receive e-invoices. They are, however, exempt from the obligation to issue e-invoices themselves.
Create invoices as a small business
With Clever Invoice you create § 19-compliant invoices incl. the note in seconds – via chat, WhatsApp or web.