Tax & Legal

At the plenary session on 12 June 2026, the Bundesrat unanimously approved amendments to the Tax Consultancy Act that the Bundestag had only passed the previous evening.

In its decision today, the European Court of Justice held that inclusion in a U.S. sanctions list is not, in itself, sufficient grounds to refuse to open a bank account. Such a denial may only be made following a case-by-case assessment by the bank regarding the risk of money laundering and terrorist financing.

In a Dutch case, the General Court of the European Union decided that exemption for services provided by a member of a VAT group in the field of health care and social care can only be granted if the relevant group member itself meets the legal requirements for VAT exemption.

The OECD Committee on Fiscal Affairs has been working to update and modernize the existing provisions of selected chapters in the OECD Transfer Pricing Guidelines for Multinational Enterprises and Tax Administrations which provides guidance on intra-group services. On 1 June 2026 a public consultation on proposed revisions to Chapter VII of the OECD Transfer Pricing Guidelines was launched.

The European Commission decided to open an infringement procedure by sending a letter of formal notice to Germany for failing to comply with EU rules on freedom of establishment.

In a most recently published decision, the Supreme Tax Court held that the interest rate of 5.5% applicable under Section 14(1) Sentence 3 of the Valuation Act (regarding lifetime usufructs and annuities) does not violate the principle of equality of Article 3(1) Basic Law when used to value a monthly lifetime annuity of the beneficiary for gift tax purposes.

In a request for a preliminary ruling from Portugal the ECJ held, that the national legislation which provides taxation of a transaction involving the formation of a capital company the share capital of which is fully paid up by means of shares held in other companies owning immovable property, and which receives as consideration the entire share capital of the company thus formed contravenes the Directive 2008/7/EC concerning indirect taxes on the raising of capital.

The Düsseldorf Tax Court had to decide whether, during the years in dispute from 2012 to 2014, losses stemming from the lease of an aircraft could still be considered for tax purposes after the aircraft was sold. The key point was the question whether there was an intention to generate income on the part of the plaintiffs. Unlike the tax office, the tax court ruled in the plaintiff's favor.

今号では、英国で2025年11月26日に公表された秋季予算案の内容、フランスの電子インボイス受領義務化に関する内容およびドイツの税務関連規定の改正案の内容などについて紹介しています。

In a decision of today the General Court of the EU annuls the decision of EU Commission designating Meta as a gatekeeper as regards Marketplace. At the same time, it maintains Meta’s gatekeeper designation for its interpersonal communications service Messenger.

Under the new Directive on the fight against corruption, more uniform anti-corruption rules will come into force across the EU. The Directive introduces modern rules to improve the prevention, detection, and prosecution of corruption throughout the EU.

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.

As a rule, parties to a legal proceeding are not entitled to compensation for the excessive length of a fiscal court trial if the parties have agreed to adjourn the court proceedings in light of an appeal already pending before the Supreme Tax Court in a similar case.

In a most recently published decision, the Supreme Tax Court held that a disability compensation received by a former member of the U.S. Armed Forces for an injury suffered in the line of duty is tax-exempt under Section 3 No. 6 Income Tax Act.

Shareholders of a U.S.-based S corporation are eligible for a full refund of the withholding tax on dividends paid by a German-based subsidiary. This was decided by the Supreme Tax Court in a recently published judgment.

The German Federal Financial Supervisory Authority has fundamentally revised the “Minimum Requirements for Risk Management” (MaRisk) and, on 1 April 2026, presented the draft of the 9th amendment to these administrative guidelines for public comment.

The gratuitous transfer of a life insurance policy (transfer of contract) is subject to gift tax at the time of the transfer and must be assessed for tax at its surrender value. Any usufruct retained by the donor does not take effect before the life insurance policy is terminated.

Whether a payment made in connection with the sale of a share in a corporation for the selling shareholder’s continued service as managing director is classified as capital gain under Section 17 Income Tax Act or as income from employment shall be determined based on the economic context and motivation, the Supreme Tax Court said in a most recently published decision.