Germany moves to end VAT exemption for business mail

BERLIN, Oct 14 (Reuters) - The German government plans to eliminate tax advantages enjoyed by Deutsche Post DHLn.DE and some competitors for business customer mail.

• The German cabinet approved two proposals from the economy and finance ministries.

• The amendment to the Postal Act would remove VAT exemptions for business mail, aiming to boost competition and create a level playing field for postal operators.

• Business customer mail services offered by DHL's Deutsche Post and some competitors are exempt from value-added tax, while the services of other competitors are not.

• In parallel, VAT regulations will be aligned with European Union law.

• Deutsche Post did not immediately respond to a request for comment.