B2B Corporate Gifts in Germany
Gifts are monetary or in-kind benefits that you provide to employees, business partners, customers, or third parties without any legal obligation and without a direct or indirect exchange of services. For gifts to third parties, the tax-free threshold in Germany, for example, is € 35. Business-related gifts exceeding € 35 cannot be deducted from taxable income. For more detailed information on corporate gifts, refer to the following sources:
B2B Corporate Gifts in Austria
Customer gifts are generally subject to VAT, provided that a full or partial input tax deduction was possible for them. The only exceptions are gifts of low value or product samples. A low value is assumed to be up to € 40 net, and the total value of gifts given to a recipient within a calendar year must not exceed this limit. Expenses for low-value promotional items such as pens are negligible and do not count towards the € 40 limit.
In summary, “genuine” Christmas gifts—meaning not promotional items or product samples—cannot be deducted as business expenses, nor is there a right to final VAT deduction if the € 40 limit is exceeded. For more information on corporate gifts in Austria, refer to the following source: