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German Federal Fiscal Court Questions Practice of Imposing Double Real Estate Transfer Tax on Share Deals

In proceedings to suspend enforcement, the German Federal Fiscal Court has expressed serious doubts about the administrative practice of imposing double real estate transfer tax in share deals. In particular, the court...more

Update on Tax Legislation in Germany and the EU

The so-called “Immediate Investment Program” has already been implemented, and with the DAC8 Implementation Act concerning reporting obligations for cryptoassets, the new federal government has launched another tax...more

Federal Fiscal Court Issues Two Rulings on the Requirements for a Consolidated Tax Group for Income Tax Purposes - Legal Insights...

In two rulings, the Federal Fiscal Court (BFH) ruled in favor of the taxpayer on the requirements for a consolidated tax group for income tax purposes. Managing holding partnership as controlling company (judgment of November...more

Düsseldorf Fiscal Court: Legal and Consulting Fees for Sale of Second-Tier Subsidiary Fully Deductible Irrespective of an Existing...

In its decision dated February 26, 2025 (7 K 1811/21 K), the Düsseldorf Fiscal Court concluded that legal and consulting fees incurred by the indirect sale of a second-tier subsidiary by the subsidiary are deductible business...more

Federal Fiscal Court on Trade Tax for Commercially Infected Upper-Tier Partnerships - Legal Insights Germany

The German Federal Fiscal Court (BFH) confirmed its case law according to which the commercial infection of an upper-tier partnership pursuant to Section 15 para. 3 no. 1 sentence 1 alt. 2 German Income Tax Code...more

German Tax Legislation Before the End of the Legislative Period

Due to the end of the so-called traffic light coalition and the upcoming new elections in Germany, numerous draft tax bills will not be adopted prior to the end of this legislative period. However, the Annual Tax Act 2024 was...more

Changes to German Tax Law - What Is Planned?

The German legislator is currently introducing a large number of tax law changes in various draft bills. This article provides an overview of the most important planned changes. The draft Annual Tax Act 2024 (JStG 2024)...more

Government Draft of Annual Tax Act 2024 Adopted

The Federal Cabinet adopted the government draft of an Annual Tax Act 2024 (JStG 2024) on June 5, 2024. The government draft largely corresponds to the draft bill of May 17, 2024 and contains a large number of very different...more

Federal Parliament Approves Compromise of the Mediation Committee

As part of the legislative process, the Federal Council (Bundesrat) convened the Mediation Committee at the end of November 2023. For this reason, some regulations that were initially provided for in the Growth Opportunities...more

Lack of Regulation on Book Value Transfer Between Partnerships with Identical Shareholdings Unconstitutional

In its decision dated 28 November 2023 (2 BvL 8/13), the German Federal Constitutional Court (BVerfG) ruled that Sec. 6 Para. 5 Sent. 3 German Income Tax Act (Einkommensteuergesetz, EStG) violates the principle of equality...more

Significant Tax Law Changes in Germany: Year-End Status

The German legislator is currently planning a number of changes that will have a significant impact on taxpayers, including, in particular, the Act to Strengthen Growth Opportunities, Investment and Innovation as well as Tax...more

Real Estate Transfer Tax in Germany: New Decree on Allocation of Properties in Share Deals

In a decree dated October 16, 2023, the German tax authorities adopted provisions from two rulings of the German Federal Fiscal Court (BFH) from 2021 and 2022 on the allocation of real estate and also established further new...more

German Parliament Passes Law on Disclosure of Country-by-Country Income Tax Information LEGAL INSIGHTS GERMANY

The German Parliament passed the law implementing Directive (EU) 2021/2101 with regard to the disclosure of income tax information by certain companies and branches (so-called public country-by-country reporting) on May 11,...more

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