Tax & Legal

Categories: All (2 found)

1. 08.05.2025

   Adjustment of local branch profit according to Section 1 (5) ...

   In a decision published today, the Supreme Tax Court held that Section 1 (5) Foreign Tax Act does not constitute an independent rule for determining permanent establishment profits. General allocation methods such as the cost-plus method require a clear legal basis - otherwise they are inadmissible.

   Categories: Supreme Tax Court cases

   Keywords: German branch, income adjustment
2. 13.08.2014

   No VAT return for German branch without taxable turnover

   The Supreme Tax Court has held that a foreign business with a registered German branch cannot file a regular VAT return if it has no German turnover. Rather, it should recover its input tax as a foreign business undertaking.

   Categories: Supreme Tax Court cases

   Keywords: German branch, foreign business undertak ...