Winning Horse

German Court: Income From Prize Money is Exempt From Sales Tax.

The German Federal Financial Court ruled on June 2020 that income from prize money is exempt from sales tax. The European Court of Justice already issued this verdict in 2016. This ruling was confirmed again this summer by the highest financial-legal body in Germany.

The court ruled that the prize money is not guaranteed and is only paid out on successes.

“This ruling confirms once again that horse owners do not have to pay sales tax on the prize money won from their horses. This reduces the burden on equestrian sports as a whole” says Rainer Reisloh, head of the financial department of the German equestrian association.

Source: FN

Share this post

Latest news