On 26 May 2026, the Federal Ministry of Finance (MOF) circulated a draft bill for the Finance Act 2026 to industry associations and invited comments by 12 June 2026. The key legislative changes relevant to businesses are summarised below.
The European Commission adopted a revised Communication on State aid rules for research, development, and innovation (‘2022 RDI Framework'), which sets out the rules under which Member States can grant State aid to companies for RDI activities, while ensuring a level playing field. The 2022 RDI Framework, which contributes to the EU's strategic objectives relating to the green and digital transitions, has entered into force today.
On 29 November 2019, the Bundesrat approved the Act on the Tax Promotion of Research and Development (Research Subsidy Act). The statute will come into force on 1 January 2020 initially for a 6-month period.
