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German government rules tax break for techno clubs

The German Fiscal Court made a historic decision, ruling that techno is indeed a genre of music and implicates that techno and house club events are now classified as concerts as long as “the musical performances represent the actual purpose of the event from the perspective of an ‘average visitor.” 

What does it mean? Now German clubs are going to be entitled to the reduced tax rate which offer curated programmes.

Eligible clubs will only have to pay 7% VAT on entrance fees compared to the previously set standard rate of 19 %, which has been the case since 2009.

A small step was taken forward when world-famous techno mecca, Berghain won its case against the city of Berlin in 2016.

They sued the capital of Germany because the Berlin-Brandenburg fiscal court overrode their 2008 decision stating that techno events were equal to concerts.

From now on, it is not only the legendary club that earned its well-deserved cultural recognition and the immense tax break, but each and every underground club! 

 

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