Tax & Legal

The P&O Newsflash provides a first overview of the new coalition's future plans for social security-

The German government intends to present a bill before the end of the year to amend the statutory regulations governing the taxation of retirement income arising from basic pensions.

The Supreme Tax Court has held that an employer’s pension fund contribution paid on behalf of an employee is not taxable merely because it was described as a payment on behalf of the employee.

Following their committee meeting on 04 September 2022, the coalition parties have presented a further package of measures (known as the Third Relief Package) for relief in the current crisis.

In a recently published decision, the Supreme Tax Court has, in some aspects, facilitated the tax recognition of employee-financed pension commitments for shareholder managing directors of a limited liability company (GmbH) but at the same time it also set some limits.

In its plenary session of 18 December 2020 the Bundesrat approved the Finance Bill 2020.