The draft bill (Act on the Introduction of Mandatory Use of Cash Registers) from the Federal Ministry of Finance provides for further changes related to the digitization and modernization of tax law, in addition to the planned regulations on mandatory use of cash registers. Among other things, this affects the tax requirements for odometers in taxis, rental cars, and vehicles used for shared ride services. In addition, the draft aims to simplify the storage and digitization of opening balance sheets and annual financial statements.
Odometer: This law also aims to establish new regulations governing the use of an odometer (Section 146c of the General Tax Code).
A new Section 146c of the German Tax Code (AO) establishes a tax requirement to use a trip meter with a digital interface for connecting to a TSE. This ensures that taxis and rental cars are treated equally. In addition, such a device will also become mandatory for vehicles used in shared-ride services that are not already equipped with a taximeter.
This regulation is scheduled to take effect on January 1, 2029.
Digitization of Opening Balance Sheets and Annual Financial Statements (Section 147(2) of the German Fiscal Code (AO))
In the future, it should be possible to digitize annual financial statements and opening balance sheets, thereby eliminating the need to store them in paper form. It must be ensured that the reproduction—or the data, if it can be made readable—visually matches the original. They must also be available at all times during the retention period, made legible without delay, and capable of being processed by machine.
This provision shall apply to all documents for which the retention period has not yet expired as of the first day of the quarter following the announcement.