The Supreme Tax Court has held that the merger loss of a life assurance company is deductible insofar as it arose from an excessive book value of the shares in the acquired company.
Tax & Legal
The Supreme Tax Court has held that minicabs cannot claim the same reduced rate of VAT as taxis, except for ambulance services under a common contract with a health fund.
The finance ministry has distinguished between returnable containers sold with the content and subject to the same rate of VAT and transport packaging within the trade and subject to standard rate VAT.
The Supreme Tax Court has held that the treaty override provision making tax exemption of foreign income dependent on tax compliance in the other state is, unless mirrored in the treaty, in breach of international law and therefore unconstitutional. It has referred to the Constitutional Court for a ruling.
The Supreme Tax Court has held that a taxpayer cannot claim forgiveness of the interest due on the tax payment following a transfer pricing adjustment on the grounds that an associated company had no claim for interest receivable on the corresponding adjustment in its home country.
The ECJ has rejected the estimated taxation of “non-transparent” investment funds as excessive taxation hindering the freedom of capital movement on shares held in foreign investment funds that do not report und publish their results in Germany in accordance with German law.
The Supreme Tax Court has held that the acceptance by the acquirer of a plot of building land of an obligation to contribute towards the cost of building a kindergarten is not part of the consideration subject to real estate transfer tax if the obligation was not due at the time of the conveyance.
The Supreme Tax Court has rejected a scheme involving the sale of securities cum div and their immediate return to the seller by way of loan in such a manner that both parties can claim credit for the dividend withholding tax.
The Supreme Tax Court has held that a demolition provision to meet an obligation to return land to the owner in its original state at the end of the lease must be reduced as necessary to reflect the new expiry date, if the lease is extended.
The Supreme Tax Court has held that there is no constitutional objection to the partial disallowance of rental costs for trade tax, even if the tenant has sublet the premises.