The Remonon mobile app allows users in Germany to scan purchase receipts and file claims for VAT reimbursement directly from their smartphones. Beginning July 1, 2024, Installation Management Command-Europe will add up to 120 households to the Remonon pilot program from the U.S. Army Garrison Ansbach, Rheinland-Pfalz and Stuttgart communities. (Army)
WIESBADEN, Germany — A pilot program that reimburses value-added tax for U.S. personnel in Germany through a phone app is expanding to three more Army garrison communities.
Beginning July 1, Installation Management Command-Europe will add users from the Ansbach, Rheinland-Pfalz and Stuttgart garrisons to its trial run for the Remonon app.
Remonon provides tax refunds on “micro purchases” by bundling them into monthly batches. Users scan and upload credit card receipts from German vendors, along with a $10 VAT form for purchases under $2,500, to consolidate what they’ve bought. Cash receipts are accepted on a case-by-case basis.
The expansion means 70 households in the Rheinland-Pfalz footprint, 30 in Ansbach and 50 in Stuttgart may ask to be part of the pilot program by providing a .mil email address and the name of the family sponsor to usarmy.wiesbaden.id-europe.mbx.g9-micro-purchase-rlp@army.mil. Ansbach and Stuttgart residents should substitute -an and -st, respectively, for -rlp when submitting their email requests. Slots were still available as of 1:30 p.m. Tuesday.
New users will need to register with their local VAT relief office and have a bank account with an IBAN number.
Testing began in March, when the installation management command partnered with Grafenwoehr-based Novat, the app creator, to establish an initial pool of about 50 U.S. personnel in Wiesbaden. The pilot program expanded into U.S. Army Garrison Bavaria in May.
There are 130 households participating in the program as of Monday, Novat founder and CEO Lukas Weber said.
To date, users have received monthly reimbursement payments, but because of German regulations, Novat will issue two quarterly refund payments for the remainder of 2024. Monthly payments will resume in January, Weber said.
App users receive refunds in their registered bank accounts at a rate of 14% and 4% for items with VAT of 19% and 7%, respectively, as a service fee for using the app.
Multiple users said they’ve received about 100 euros per month in reimbursement while participating in the pilot program.
“The Remonon app allowed me to recoup the VAT from the small purchases I made when it was impractical to use a VAT form,” U.S. Army Garrison Bavaria program participant Tony Noriega said. “I highly recommend it ... and urge IMCOM-Europe to accelerate the app for use theater-wide.”
The timeline for full implementation depends on pilot testing and performance, as Novat continues to scale services.
“My wish scenario is that we get them onboard like in September to open it to everyone who wants it,” Weber said. “But it’s technology, so there is no serious projection possible that is 100% feasible.”
The pilot testing’s scaled approach with users and locations is important to building the framework for receipt recognition and full automation, he added.
“Every vendor has a different style of how they structure their receipts, and it’s very difficult to train the (artificial intelligence),” Weber said. “People should be aware that the (receipt) scan quality is good, because they are shaping the program to enable us to scale up our services.”
Novat is also planning to develop other services for U.S. military communities in Germany, Weber said.
They include an idea for a 1-2% military discount for Remonon users as well as app-integrated debit and credit card services to streamline VAT reimbursement, while providing better currency exchange rates and lower foreign transaction fees than those offered by many U.S. banks, Weber said.
