Saving Money or Illegal?

Can you only deduct a business lunch from tax if you are the managing director of a company?

Or could I, for example, set up a fake business at the age of 18 for 25 euro and spend my restaurant visits there as business meals in order to save taxes? Is that possible? I can forget laptops because my business has to deal with them. But a business lunch can be anything.

If you want the tax office to ring, do it.

Yes, but if you don't have any income from business, which taxes do you want to reduce?

oh… It's you…

:) Many people think that deducting taxes means that you get the VAT back.

So you want to set up the cost or time that a business automatically entails to do something?

Which is true in a certain way when it comes to entrepreneurs.

For entrepreneurs, the sales tax invoiced to them by other entrepreneurs is deductible as input tax from the sales tax owed by them.

Spending money to save taxes doesn't work.

Business-related food expenses are business expenses that only reduce your bottom line.

Saving taxes with a "fake trade" does not work. Apart from the fact that the activity actually exists / has to be proven with the intention of making a profit, the Essen would also have to be operationally induced in order to be approved as business expenses. So together with business customers, etc. The location, participants and occasion must be recorded for each meal. Incorrect information would be tax evasion! And even if all the requirements are met, only 70% of the reasonable expenses are allowed as business expenses.

Without sales you don't have any vat

However, this does not change anything in the entitlement to input tax deduction, provided that someone is an entrepreneur and is not subject to the small business regulation according to Section 19 of the Sales Tax Act.

Do they also pay out a pre-tax credit?

Yes they do. It is even common in some industries.

At this point, the FA will ask you why you only have costs in the long term, but no income.

Yes, that's what we love

Correct and then nothing can be deducted.