BFH Updates On Business Facilities (Extended Trade Tax Deduction)

On 21 July 2015, the German Federal Ministry of Finance released a discussion draft for a proposed German Investment Tax Reform Act.

Germany's Annual Tax Act 2024 (Jahressteuergesetz) brings tweaks to the country's Income Tax Act (Einkommensteuergesetz). Due to adjustments to Sec. 22 no. 5 sentence 2 of the act...

The finance ministry has just published its latest tax revenue estimates showing further falls of € 1.4 bn in 2004 and of € 3.4 bn in 2005.

A new finance ministry decree bases the rate on the London gold price, now that there is no longer a Frankfurt gold fixing

It is charged to trade tax in its own right, but allocates its remaining income to the partners for inclusion in their tax returns.

Finally, the Growth Opportunities Act passed on March 27, 2024. It has lead to a significant change to the German Value Added Tax Act (UStG), listed in Article 23, pertaining...

The so-called Act to Strengthen Germany as a Fund Jurisdiction added an exemption to the German VAT Act from VAT for management services rendered to "venture capital funds" (Wagniskapitalfonds)...

In recent years, the German government and its Finance Ministry have tightened the legislation relating to transfer pricing, seeking not only to offset reductions in the tax rate but also to close the loopholes said to be eroding the German tax base.

When a German employer hires foreign EU workers for a short-term project without proper tax and social security documentation, what appears to be a cost-effective staffing solution can quickly transform into a financial burden. Through a detailed case study and sample calculations, this analysis reveals how routine audits can expose compliance gaps that nearly double the actual employment costs.

The Fiscal Court of Münster has ruled on a critical question in German reorganization tax law: when assessing whether a contribution in kind qualifies for tax-neutral treatment, should authorities examine the circumstances on the actual contribution date or the retroactive tax effective date? This decision challenges longstanding administrative guidance and could fundamentally reshape how businesses structure tax-efficient reorganizations involving partnership interests and special business assets.

Recently the AIFM Transformation Act which, inter alia, has replaced the German Investment Funds Act by the German Capital Investment Act .

The German Act on the Adaption of Investment Fund Taxation in Connection with the AIFM Directive (the "AIFM Tax Act") did not pass the legislative process prior to the Federal Election. Initially, it was envisaged that the AIFM Tax Act should enter into force on 22 July 2013.

On 21 July 2015, the German Federal Ministry of Finance released a discussion draft for a proposed German Investment Tax Reform Act.

Corporate Governance Comparative Guide for the jurisdiction of Germany, check out our comparative guides section to compare across multiple countries

Merger Control Comparative Guide for the jurisdiction of Germany, check out our comparative guides section to compare across multiple countries

Since the implementation of the AIFM-Directive, the marketing of funds by third country managers to professional investors in Germany requires marketing approval.

The so-called Act to Strengthen Germany as a Fund Jurisdiction added an exemption to the German VAT Act from VAT for management services rendered to "venture capital funds" (Wagniskapitalfonds)...

M&A COVID-19 Wire - Part 9

On 14 May 2020, the German Federal Parliament adopted a draft law to mitigate the conse-quences of the COVID-19 pandemic in competition law and for the self-governing organisa-tions of the commercial sector.

The Mediation Committee of the German Bundestag and Bundesrat has recently proposed important changes in German tax law.