Yes, it is existing and you can benefit from it but it is … complicated and paper-work.
Stores will sometimes be experienced in that matter and offer you the option and correct form to fill out. Otherwise, you need to be the ultra-informed traveler and may be even have the forms at hand. It certainly depends on what you buy and if it is worth the paperwork.
More than 40,000 stores in Germany offer Global Refund’s Tax Free Shopping service
German Customs provides following information for travellers:
If you are a visitor to Germany from a third country (non-EC country), you can purchase goods in Germany free of sales tax. Certain conditions must be met:
You want to know all about it? The best source of information is the German Customs (Deutscher Zoll) website: Customs online – Tax-free shopping – Tax-free shopping (zoll.de)