FlyerTalk Forums - View Single Post - Breakfast price during booking and on the bill totally different...
Old Jun 17, 2019 | 9:19 am
  #31  
Flying Lawyer
FlyerTalk Evangelist
10 Countries Visited
20 Countries Visited
30 Countries Visited
20 Years on Site
 
Join Date: Sep 2005
Location: Capetown
Programs: Marriott LT Plat, IHG and Hilton Diamond, LH LT SEN, QR Platinum. BA Silver (going down further)
Posts: 10,235
Originally Posted by shonanroger

Well. It’s nevertheless no tax fraud when your employee isn’t located in Germany. ... or is it? Maybe I’m overlooking here something.
Changing the invoice from the correct - let’s assume - 87 EUR room plus 26 EUR breakfast to 100 EUR room plus 13 EUR breakfast or even 113 EUR room plus zero EUR breakfast would be by the book VAT tax fraud notwithstanding your residence.

Changing the invoice from 87 EUR room plus 26 EUR breakfast to 87 EUR room plus 26 EUR business package is tax neutral as the tax privileged room rate remains at 87 EUR. It is fraud v/v the employer as he took breakfast (not being entitled to reimbursement) and had the invoice changed to „business package“ obviously being entitled.

It may become tax fraud for German employees as the employer may only reimburse a limited amount for breakfast tax free and any difference between this limited amount and the amount paid is subject to income tax and this will obviously not happen if the employee circumvents this rule by „rebranding“ a breakfast into a „business package“..
Flying Lawyer is offline