In order to revive the local economy following the COVID-19 crisis, the German government had presented a fiscal stimulus plan which included a temporary reduction in VAT rates in Germany, from 19% to 16% for the standard rate and from 7% to 5% for the reduced rate.
This measure was approved by the German Parliament on 29 June 2020. The rates of 16% and 5% are applicable from 1 July 2020 until 31 December 2020.
Source : Bundesrat (in German)