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There's a tax break right in the article: "They pay more in sales tax (German installers are exempt)." But you're right, that the largest subsidy is not paid
by uvdiv 14y ago
There's a tax break right in the article:
"They pay more in sales tax (German installers are exempt)."
But you're right, that the largest subsidy is not paid out of tax money, but through a (very large [0]) mandated surcharge on private utility bills. There's little practical difference. It's functionally equivalent to a tax subsidy funded by a tax on electricity.
[0] http://www.reuters.com/article/2012/09/25/eu-oettinger-idUSL5E8KP22V20120925 http://www.reuters.com/article/2012/09/25/eu-oettinger-idUSL...
- arrrg 14y agoThat’s not a tax break specific to solar installations. In fact, it’s not a tax break at all. It is just a consequence of how German tax law is constructed. It has nothing to do with subsidizing solar installations. If you register your private solar installation as a business, you are exempt from paying sales tax if you also pay revenue tax (= sales tax) for the energy you are selling. Just like the baker buying her oven, if a business buys something for the business, it is (usually) exempt from paying sales tax for it – since sales tax is supposed to be only paid once, not several times. You know, what annoys me is ignorance about the actual policies and then pontificating as if you have it all figured out.
- walshemj 14y agoif the tax law is constructed to have advantages for these "home businesses" then its a tax break and don't get me started on the "hobby" farms that get subsidy's from the CAP budget. An I am a pro EU guy you can see why Ukip are gaining in popularity