All posts tagged: solar power system

Small-Scale Photovoltaic Systems: Planned Tax Relief Starting in 2023

Background The 2022 Annual Tax Act provides for extensive tax breaks for small photovoltaic systems in order to accelerate the further expansion of this renewable energy source. Previous Taxation Operators of photovoltaic systems have generally generated income from business operations. This involves determining profits using the income-surplus method, which typically entails a significant administrative burden for what is often a […]

Small-Scale Photovoltaic Systems: Application for Hobbyists and Selected Questions

Background In a letter dated October 29, 2021, the Federal Ministry of Finance introduced a revised simplification rule for small photovoltaic systems (“PV systems”). Under this regulation, the tax authorities will assume, without further review , that the operation is a hobby activity not subject to income tax if the operator declares within a specified period that they wish to […]

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