cross-posted from: https://lemmy.zip/post/1554654
Archived version: https://archive.ph/VQN5X
Archived version: https://web.archive.org/web/20230817101801/https://www.politico.eu/article/germany-defense-change-of-plan-nato-spending/
cross-posted from: https://lemmy.zip/post/1554654
Archived version: https://archive.ph/VQN5X
Archived version: https://web.archive.org/web/20230817101801/https://www.politico.eu/article/germany-defense-change-of-plan-nato-spending/
because if the government spends 100€ on whatever, it gets 19€ back.
So it only actually spent 81€.
Careful: VAT is calculated additionally to the price of the goods bought. So when the government buys goods for 84€, an additional +19% VAT is slapped on top of it, which comes out to 16€, for a final payment of 100€. So only when the government ultimately pays 119€ on something, it gets 19€ back.