In Germany, new legislation applied a permanently reduced VAT rate of 7% to restaurant and catering services (food) starting on January 1, 2026 (Steueränderungsgesetz 2025). To ensure correct taxation from the start of the new year, an update in the Back Office is required.

This update is not performed automatically by Lightspeed Restaurant.

Updating your tax profile

Starting Jan 1, 2026, the tax profile in your item groups must be adjusted manually. Please perform the following steps in your Back Office as of the effective date (before the start of business):

The required tax profile will be available in your system starting Dec 29, 2025. Please note that the change to your tax profile should be applied on January 1, 2026 or as soon as possible.

1. Navigate to Menu > Accounting Groups.
2. Edit the tax profile for accounting groups that contain food products.
3. Replace the currently selected tax profile for these groups with the profile "Speisen 7%". This profile ensures that, starting in January, food consumed on-site will be correctly taxed at 7%.
4. Click Save.
5. After adjusting your item groups, reload the configuration on your POS devices to ensure the changes are active at checkout. You can create a test receipt to verify the correct VAT configuration.

Beverages & special cases

• Beverages: Beverages (alcohol, soft drinks, etc.) remain subject to the standard tax rate of 19%.
• Milk-based drinks: Drinks with a milk content of at least 75% (such as a Cappuccino, Latte Macchiato, etc.) can still be taxed at 7% for takeaway orders. For on-site consumption, these drinks are still subject to 19%. Please check your specific item group settings if applicable.

This information does not constitute tax or legal advice. As a system provider, we provide the technical tools; however, the responsibility for the correct tax classification of your items lies with you as the taxpayer. We recommend coordinating your settings with your tax advisor.