> For the complete documentation index, see [llms.txt](https://help.immodio.app/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://help.immodio.app/en/anleitung/einnahmen-und-ausgaben/buchhaltung-erweiterung/10066400-geringwertige-wirtschaftsgueter.md). # Low-value assets Help on the Immodio entry item Low-value assets.
Use this category for **depreciable, movable and independently usable assets** that you acquire for your letting and whose relevant acquisition costs are **at most €800 excluding VAT**. For income from letting and leasing, such assets can in principle be taken into account for tax in full in the year of acquisition. For income-related expenditure, Section 9 (1) no. 7 EStG expressly refers to the rule on low-value assets in Section 6 (2) EStG. The statutory limit is currently **€800** for the individual asset. ### Which conditions have to be met? For an item to be treated as a low-value asset, several conditions in principle have to be met at the same time. The asset has to: * be **depreciable**, * be **movable**, * be **independently usable**, * serve your letting activity and * cost at most **€800 excluding VAT**. The conditions of movability and independent usability follow directly from Section 6 (2) EStG. Through Section 9 (1) no. 7 EStG the rule applies correspondingly to income-related expenditure and therefore to income from letting and leasing. ### What does "movable" mean? A low-value asset has to be a **movable asset**. Typical movable items can be, for example: * an office chair, * a smoke alarm, * a desk, * a free-standing shelf, * a tool, * a free-standing lamp, * a washing machine, * a dryer, * smaller devices, * other independently usable items of equipment. Typical parts of the building or components permanently connected with its function, on the other hand, are not covered. Windows, a building facade or typical installations permanently belonging to the building, for example, are not movable low-value assets. {% hint style="info" %} Under the income tax guidance, a **washing machine** expressly counts as an independent movable asset, even where it is bolted to a concrete base and made available to tenants for a fee. {% endhint %} ### What does "independently usable" mean? An item does not only have to be bought individually. It also has to **be capable of sensible use on its own**. Section 6 (2) EStG excludes in particular items that, according to their intended purpose, can only be used together with other assets technically matched to them. The Federal Ministry of Finance looks at the item's actual business or economic purpose. Items of furnishing in offices, for example, can in principle be independent assets, even where they are bought together and designed as a set. #### Example: a desk and an office chair You buy: **a desk: €600 net** **an office chair: €500 net** The total invoice: **€1,100 net** What is decisive is not the invoice amount of €1,100. The desk and the office chair are in principle two independently usable assets. The limit for low-value assets is therefore in principle to be assessed for **each item separately**. The Federal Ministry of Finance expressly treats items of furnishing as in principle independently usable assets. Where the other conditions are met, both the €600 desk and the €500 office chair can therefore each be a low-value asset. ### What is decisive is not the total amount of the invoice The €800 limit applies to the **individual asset**. #### Example On one invoice you buy: **4 chairs at €300 net each** The total invoice: **€1,200 net** Where the four chairs are each independent assets, the total invoice of €1,200 does not prevent treatment as low-value assets. At €300, each individual chair is below the €800 limit. Section 6 (2) EStG expressly refers to the acquisition or production costs of the **individual asset**. ### A single asset may not be split artificially Conversely, an economically single item may not be broken down into several individual parts merely so that each part stays below €800. For landlords the **fitted kitchen** is the most important example here. The Federal Fiscal Court has held that a fitted kitchen including the sink, cooker, fitted units and built-in electrical appliances is in principle to be regarded as a **single asset** and is typically depreciated over ten years. #### Example A fitted kitchen consists of: units: €700\ a worktop: €400\ a cooker: €500\ a sink: €300\ a fridge: €600 It would be wrong to treat all the components as individual low-value assets solely on the basis of the individual invoice items. Where there is a single asset "fitted kitchen" for tax purposes, its **total value** is to be used. ### The limit is €800 excluding VAT The amount decisive in law is: **€800 excluding VAT** With an ordinary purchase including 19% German VAT the following corresponds: **€800 net** plus **€152 VAT** equals **€952 gross** For working equipment the tax authorities expressly make clear that the full amount including VAT can be written off immediately as income-related expenditure where the price **excluding VAT** does not exceed the limit for low-value assets. ### Examples of the €952 limit #### 1. A purchase with 19% VAT The purchase price: **€600 net + €114 VAT = €714 gross** → €600 excluding VAT\ → the limit is not exceeded\ → a low-value asset is in principle possible. #### 2. Exactly at the limit **€800 net + €152 VAT = €952 gross** → the limit is not exceeded\ → a low-value asset is in principle possible. Section 6 (2) EStG speaks of acquisition costs that **do not exceed €800**. #### 3. Just above it **€801 net + €152.19 VAT = €953.19 gross** → the €800 limit is exceeded\ → in principle not a low-value asset under this rule. ### Also note shipping, delivery and other incidental acquisition costs For the €800 limit it is not always sufficient to look only at the price of the goods stated on the price tag. Acquisition costs in principle also include individually attributable **incidental acquisition costs** and costs necessary to put the item into an operational condition. Price reductions, by contrast, are to be deducted. #### Example The device: costs **€780 net** Delivery costs **€30 net** plus VAT: **€153.9** The relevant acquisition costs: **€810 net** → over €953 and therefore in principle not a low-value asset. The apparent purchase price alone is therefore not always sufficient. ### **Smoke alarms** **Smoke alarms** are low-value assets. Enter the acquisition costs of the smoke alarms in **"**[**Low-value assets**](/en/anleitung/einnahmen-und-ausgaben/buchhaltung-erweiterung/10066400-geringwertige-wirtschaftsgueter.md)**"** and assign the expense to the corresponding let property or unit. ### Consumables are not low-value assets A low-value asset is an **asset usable over a longer period**. Items consumed directly do not belong here. Examples: * printer paper, * printer cartridges, * toner, * envelopes, * cleaning materials, * small materials, * other consumables. The respective running expense categories should be used for such expenditure, for example **"**[**Office supplies**](/en/anleitung/einnahmen-und-ausgaben/buchhaltung-erweiterung/10024200-buerobedarf-druckerpatronen-papier-etc.md)**"**. The rule on low-value assets concerns **depreciable** **movable** assets and not ordinary consumption expenses. ### Parts of the building do not belong here The rule on low-value assets requires a **movable** asset. Typical parts of the building and structural measures therefore do not belong in this category. The following, for example, should not simply be entered as low-value assets: * new windows, * a front door as part of the building, * the roof covering, * pipes and cables permanently belonging to the building, * the building facade, * structural refurbishment measures. Depending on the facts, this expenditure has to be classified as maintenance expenditure, acquisition/production costs or other building costs. ### Note partial private use An item does not become income-related expenditure in full merely because you occasionally use it for the letting. Section 9 EStG requires an economic connection with the type of income. Only the share relating to the letting is in principle attributable to that type of income. #### Example You buy a desk for: **€600 net** Use: **70% rental management and 30% private** The limit for low-value assets is assessed on the basis of the **whole asset**. The desk costs €600 and is therefore below the limit. When it is taken into account for tax, however, the partial private use then has to be taken into account, as far as an appropriate split is necessary. ### An expensive item does not become a low-value asset through pro rata use You may not first reduce the acquisition costs by the letting share and **then** check whether the €952 limit is met. #### Example You buy a laptop for: **€1,200 net** You use the laptop **50% for the letting and 50% privately** The letting share arithmetically: **€600** The laptop is nevertheless **not a €600 low-value asset**. For the limit for low-value assets, the acquisition costs of the **individual asset** are decisive, here therefore €1,200. The private or other use is only relevant for the amount of the expense attributable for tax. ### Buying a second-hand item The rule on low-value assets is not limited to new goods. A second-hand movable and independently usable asset can in principle also meet the conditions where its actual acquisition costs are within the limit. Section 6 (2) EStG refers generally to acquiring the asset and contains no restriction to new items. {% hint style="warning" %} With second-hand purchases from private individuals it is important, however, that **no VAT is often included**. The limit for the purchase price is then €800 and not €952. {% endhint %} ### Above €800: use another category Where the item costs more than €800 excluding VAT, the appropriate asset category is in principle to be used. Examples: **Office furniture over €800 net**\ → "[Office furnishings](/en/anleitung/einnahmen-und-ausgaben/buchhaltung-erweiterung/10024300-bueroeinrichtung-moebel-schreibtische-stuehle-etc.md)" **General business equipment over €800 net**\ → "[Business equipment](/en/anleitung/einnahmen-und-ausgaben/buchhaltung-erweiterung/10022200-betriebsausstattung.md)" **Tools over €800 net**\ → "Tools" **Computer hardware over €800 net**\ → "[Computer, laptop, PC, tablet, smartphone, printer](/en/anleitung/einnahmen-und-ausgaben/buchhaltung-erweiterung/10024400-computer-laptop-pc-tablet-smartphone-drucker.md)" ### Which documents should you keep? Keep in particular the complete invoice or purchase receipt and proof of payment. It should also be comprehensible: * what exactly was acquired, * when the acquisition took place, * which individual item corresponds to which price, * what VAT was actually included, * which shipping, delivery or installation costs belong to the item, * which discounts were taken into account, * what the asset is used for in the letting, * whether there is private or other partial use. With an invoice containing several items, the documents should if possible show which purchase price is attributable to **each individual asset**.