Further Legal Changes 2026: An Overview

AI Act: Implementation of core obligations for high-risk AI systems anticipated from December 2027 instead of August 2026. Further details are available on the European Commission Website. 

Flexible Pension: From 1 January 2026, up to €2,000 monthly tax-free earnings for voluntary work beyond retirement age. Further information is available at the Federal Ministry of Labour and Social Affairs Website.

CSRD: European Sustainability Reporting Requirement primarily intended for companies under Accounting Directive standards with 1,000+ employees and over €450 million net revenue. Reporting deadlines vary by national implementation. More details on the European Commission Website.

Electrical and Electronic Equipment Act (ElektroG): From 1 January 2026, new trading obligations include mandatory return of single-use and multi-use e-cigarettes at all sales outlets, uniform marking of collection sites and shelf information duties. More details on the German Parliament Website: PDF Document (only available in German)

E-Invoicing: Mandatory electronic invoicing starts January 2027 for businesses with annual turnover above €800,000. FAQs available on Federal Ministry of Finance Website.

Fair Integration: Starting 1 January, employers recruiting abroad must inform workers of advisory services regarding labour and social law rights through the new service "Fair Integration". Details are provided on the Network Website.

GARAN: Introduction of an information label for warranty and durability guarantees from 28 September 2026. Learn more on the European Commission Website: Directive (EU) 2024/825 and Regulation (EU) 2025/1960.  

Short-Time Work Benefits: The eligibility period will be extended from 12 to 24 months until the end of 2026. Learn more on the Federal Ministry Website.

Minimum Wage: Increases to €13.90 from 1 January 2026; Minijob limit rises to €603. Learn more on the Federal Ministry Website. 

Commuter Allowance: 38 cents per kilometre from the first kilometre starting 2026. More details on the Federal Finance Ministry Website. 

Illegal Employment: New inspections on hairdressers, barbershops, nail salons and beauticians starting late 2025. Read on the Federal Ministry Website.

Site Promotion Act: Aiming to strengthen private investments; planned entry into force end of January 2026. More details on the Federal Finance Ministry Website. 

VAT Gastronomy: From 1 January 2026, food VAT reduces to 7%, drinks remain at 19%. Learn more on the Federal Finance Ministry Website: PDF Document (only available in German).