Flat rate / advance payment

On this page, you can see all operating cost payments that are assigned to the individual tenancies in the billing period.

A distinction is made between advance payments and lump sums.

• Advance payments are advance payments on the operating costs to be billed later. They are deducted from the costs actually incurred in the operating cost statement. This can result in either a credit or an additional payment for the tenant. Further information on the advance payment of operating costs can be found here.

• Lump sums, on the other hand, are fixed amounts that cover certain operating costs. They are not offset against the actual costs incurred like advance payments. For flat-rate agreed operating costs, therefore, there is usually neither an additional payment nor a credit. Further information on the operating costs lump sum can be found here.

At this point, check that all payments are fully recorded, assigned to the correct tenancy and correctly marked as prepayment or lump sum. The amounts listed here are then included in the operating cost statement according to their nature.

If a payment is missing from this list, you can enter another transaction via "Create Booking":

Advance payment of ancillary costs / operating costs

Create another transaction if an advance payment of operating costs paid by the tenant is not yet included in the list.

Only enter payments that the tenant has actually made as an advance payment for ancillary costs or operating costs and that belong to the billing period. Unpaid advance payments should not be recorded as payment. They are initially a payment arrears of the tenant and would incorrectly reduce the bill in favor of the tenant.

An advance payment is a discount on the operating costs to be billed later. Unlike a lump sum, it is offset against the actual costs incurred. This may result in a credit or an additional payment in the operating cost statement.

Further information on the advance payment of operating costs can be found here.

Also pay attention to whether an advance payment or a lump sum has been agreed in the rental agreement. You can easily do this under Details of the tenancy .

This category does not include cold rent, rental deposits, additional payments from an already prepared utility bill or flat-rate agreed utility costs.

Flat-rate ancillary costs / operating costs

Use this category for utilities or utilities that have been agreed with the tenant as a flat rate.

A lump sum is a fixed amount for agreed operating costs. Unlike an advance payment, it is not offset against the actual costs incurred. As a rule, this results in neither a credit nor an additional payment.

Further information on the operating costs lump sum can be found here.

This category does not include cold rent, rental deposits, additional payments from previous settlements or normal advance payments of operating costs.

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Special feature of renting to relatives

If you rent out an apartment to relatives, there are higher requirements for tax traceability than for an ordinary tenancy. Therefore, you can enter the postings for the service charge payments of relatives separately in Immodio:

Flat-rate ancillary costs / operating costs to relatives

Use this category for ancillary costs or operating costs if you rent the rented property to relatives and a flat rate has been agreed with them.

A lump sum is a fixed amount for agreed operating costs. Unlike an advance payment, it is not offset against the actual costs incurred. As a rule, this results in neither a credit nor an additional payment.

Further information on the operating costs lump sum can be found here.

Special feature of renting to relatives

In the case of tenancies with relatives, the agreed amounts should be documented in a particularly comprehensible way. The tax office regularly checks whether the rental agreement is arm's length and whether the payments are actually made as agreed.

For the tax examination of the rent amount, the gross rent is generally considered. In addition to the basic rent, this also includes the apportionable operating costs, e.g. an agreed flat rate for operating costs. If the agreed and actually paid gross rent is significantly below the local rent, this can have an impact on the deduction of income-related expenses.

The Bavarian State Tax Office mentions the limits of 66% and 50% of the local rent in particular. Further information can be found here. This is not tax advice and a tax advisor should always be consulted in individual cases.

Only enter lump sums here that were actually agreed in the rental agreement and were also paid by the relative. Unpaid, waived, or internally charged amounts should not be posted as payment.

Advance payment of ancillary costs / operating costs to relatives

Use this category for advance payments of utilities or operating costs if you are renting the rented property to relatives and an advance payment has been agreed with them.

An advance payment is a discount on the operating costs to be billed later. Unlike a lump sum, it is offset against the actual costs incurred. This may result in a credit or an additional payment in the operating cost statement.

Further information on the advance payment of operating costs can be found here.

Special feature of renting to relatives

In the case of tenancies with relatives, the agreed and actually paid amounts should be documented in a particularly comprehensible way. The tax office regularly checks whether the rental agreement is arm's length and whether the payments are actually made as agreed.

For the tax examination of the rent amount, the gross rent is generally considered. In addition to the basic rent, this also includes the apportionable operating costs, e.g. an agreed advance payment of operating costs. If the agreed and actually paid gross rent is significantly below the local rent, this can have an impact on the deduction of income-related expenses.

The Bavarian State Tax Office mentions the limits of 66% and 50% of the local rent in particular. Further information can be found here. This is not tax advice and a tax advisor should always be consulted in individual cases.

Only record advance payments that were actually agreed in the rental agreement and were also paid by the relative. Unpaid, waived, or internally charged amounts should not be posted as payment.

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Special feature of renting garages and commercial premises

In the case of advance payments for garages, parking spaces, commercial premises or other rooms not rented out for residential purposes, VAT peculiarities may apply. That's why Immodio has its own categories for payments, which are recorded with 19% VAT. Below is an explanation of when this category is used and what you should look out for when booking.

Advance payment of ancillary costs / operating costs for garages and other rooms with 19% VAT

Use this category for operating cost prepayments agreed for garages, parking spaces, commercial premises or other rooms with 19% VAT.

Only book advance payments here if the rental is actually subject to VAT and the operating costs are also billed with VAT**. The payment is later offset against the actual operating costs incurred.

Do not assign the booking to a tenancy, but to the respective owner (usually. themselves).

Special feature of garages and parking spaces

In the case of garages and parking spaces, it depends on whether they are rented independently or together with an apartment.

If a garage or parking space is rented out separately, the rental may be subject to VAT. In this case, the associated advance payments of operating costs are also recorded with 19% VAT.

If, on the other hand, the garage or parking space is rented to the same tenant together with a tax-exempt apartment, it is often considered an ancillary service to the residential rent. Then there is usually no sales tax and this category should not be used.

Special feature of commercial leasing

Commercial premises are also initially rented out free of VAT. However, the landlord can opt for VAT under certain conditions. This is particularly possible if the tenant is an entrepreneur and uses the premises for transactions that do not exclude input VAT deduction.

If VAT has been effectively opted for, in addition to the rent, the advance payments for operating costs are also billed with 19% VAT. In the subsequent utility billing, the costs are to be treated accordingly with VAT. The standard tax rate is 19%.

Don't book in this category

This category does not include:

• Normal operating cost advance payments for tax-free residential rent

• Advance payments for garages or parking spaces rented together with a tax-free apartment

• Advance payments without agreed sales tax

• Flat rates for operating costs

• Cold rent or garage rental yourself

• Additional payments from a statement that has already been created

If the landlord uses the small business regulation, no VAT may be shown in principle. Then this 19% category should not be used. Since 2025, the small business limit of €25,000 in sales in the previous year and €100,000 in sales in the current year has been in force.

Only use this category if the rental agreement, invoice and tax treatment match. Especially in the case of commercial premises, it should be clearly regulated that the rent and operating costs are owed plus statutory VAT.

Note: This information is for general guidance only and expressly does not replace tax advice. Whether VAT is to be shown in individual cases should be clarified with a tax advisor.

Flat-rate ancillary costs / operating costs for garages and other rooms with 19% VAT

Use this category for ancillary costs or operating costs that have been agreed for garages, parking spaces, commercial premises or other rooms as a flat rate with 19% VAT.

A lump sum is a fixed amount for agreed operating costs. Unlike an advance payment, it is not offset against the actual costs incurred. As a rule, this results in neither a credit nor an additional payment.

Do not assign the booking to a tenancy, but to the respective owner (usually. themselves).

Special feature of garages and parking spaces

In the case of garages and parking spaces, it depends on whether they are rented independently or together with an apartment.

If a garage or parking space is rented out separately, the rental may be subject to VAT. In this case, the associated advance payments of operating costs are also recorded with 19% VAT.

If, on the other hand, the garage or parking space is rented to the same tenant together with a tax-exempt apartment, it is often considered an ancillary service to the residential rent. Then there is usually no sales tax and this category should not be used.

Special feature of commercial leasing

Commercial premises are also initially rented out free of VAT. However, the landlord can opt for VAT under certain conditions. This is particularly possible if the tenant is an entrepreneur and uses the premises for transactions that do not exclude input VAT deduction.

If VAT has been effectively opted for, in addition to the rent, the advance payments for operating costs are also billed with 19% VAT. In the subsequent utility billing, the costs are to be treated accordingly with VAT. The standard tax rate is 19%.

Don't book in this category

This category does not include:

• Normal operating costs lump sums for tax-free residential rent

• Flat rates for garages or parking spaces rented together with a tax-free apartment

• Flat rates without agreed VAT

• Advance payments for operating costs

• Cold rent or garage rental yourself

• Additional payments from a statement that has already been created

Only use this category if the lump sum has actually been agreed with 19% VAT.

If the landlord uses the small business regulation, no VAT may be shown in principle. Then this 19% category should not be used. Since 2025, the small business limit of €25,000 in sales in the previous year and €100,000 in sales in the current year has been in force.

Note: This information is for general guidance only and expressly does not replace tax advice. Whether VAT is to be shown in individual cases should be clarified with a tax advisor.