According to a statement from German Finance Minister Olaf Scholz, Germany will provide an annual tax relief of around 2.3 billion euros as part of part of a new measure to support purchases of digital assets, including computer software hardware.
German state government and the federal government agreed on Tuesday, that digital assets could be depreciated retroactively to January 1, 2021.
The move is part of the German government to support digitalization of the economy.
“I want to make a quick, targeted and unbureaucratic contribution to this with the tax law,” said Scholz.
The measure will mean digital assets will ow be fully deductible in the year of purchase itself; earlier, such digital assets, including laptops, monitors, printers, and scanners were written-off across several years.
“This will provide a great tax incentive to invest in computers, software and digitalisation. This is also good news for all those who are currently working in a home office,” said Scholz.
Over a planned period of five years, the stimulus for consumers and companies should add up to 11.5 billion euros, said the ministry in a statement.