For providers of extensions and templates from Germany: it should be noted that you are eligible for a VAT reduction when selling extensions through our Community Store. This is in accordance with § 12 para. 2 no. 7c UstG. This means you receive your share of the net selling price plus the current 7% tax, provided you qualify for this deduction. To receive this reduction, please provide us with the appropriate accounting information.
Background: Since computer programs and therefore software are considered literary works protected by copyright, there is often the question of whether or not they apply for this reduced tax rate. However, since this area is still rather grey, there is no direct answer. The reduced rate depends largely on the contractual relationship between the author and the distributor regarding the use of the software. Only if during the acquisition of the software, both the rights to reproduce and distribute the software are transferred, the author is eligible for a reduced tax rate, which is currently set at 7%. Please see your tax advisor for further information on this topic.