Zweites Bürokratieentlastungsgesetz

Bureaucracy Relief Act

The Federal Government has presented a draft bill to provide relief for medium-sized businesses in particular from bureaucracy (Bureaucracy Relief Act).


Background: With the Cabinet decision on 11.12.2014, the Government had already decided on basic points to provide further relief for medium-sized companies from bureaucracy (published on Website of Federal Ministry for Economic Affairs and Energy). This aimed at strengthening the business location Germany and providing impulses for growth and investments.

With the current draft of a bureaucracy relief act, individual aspects of the basic points to reduce bureaucracy are to be implemented in the short term with the aim of achieving fast and tangible relief for medium-sized companies.

The following measures are provided for:

  • Increase in maximum amounts for tax and commercial accounting and registration requirements(Article 241a sentence 1 German Commercial Code HGB, Article 141 paragraph 1 sentence 1 Tax Code AO),
  • Simplifications to the factor method for income tax deduction for spouses or life partners (Article 39f Income Tax Act EStG),
  • Raising lump sum limit for temporary employees(Article 40a paragraph 1 sentence 1 number 1 Income Tax Act EStG),
  • Reduction in reporting obligations for those liable to pay church tax (Article 51a paragraph 2c number 3 sentence 9 Income Tax Act EStG),
  • Raising thresholds for reporting requirementsaccording to various business statistic laws and introduction of thresholds for reporting requirements according to Environmental Statistics Act,
  • Raising of thresholds for notifications on intra-Community trade statistics(Article 30 paragraph 4 sentence 1 of the external trade statistics-implementing provision),
  • Simplification and reduction of reporting obligations for biogas monitoring (Article 35 paragraph 1 number 7 of Energy Industry Law, Article 37 of the Gas Network Access Regulation).

Note: The changes to the Income Tax Act EStG (Article 5), Energy Industry Law (Article 15) and in the Gas Network Access Regulation (Article 16) on biogas monitoring are to come into effect on the day after the promulgation of the law. The other changes are to come into effect on 1.1.2016.