On 12 June 2020, the Germany Federal Cabinet has approved a EUR130bn (USD148bn) fiscal stimulus package with numerous tax measures, intended to help revive the German economy following the COVID-19 pandemic.
The package increases loss carryback relief that has been introduced for COVID-19 from a maximum of EUR 1 million or EUR 2 million in the case of a joint assessment, to EUR 5 million or EUR 10 million, which is available for losses incurred in 2020 and 2021.
The package includes a doubling of the maximum allowance for research and development expenditure to EUR1m per year for the period from 2020 to 2025. For moveable business assets, an accelerated depreciation method would be introduced for 2020 and 2021
