Tax & Legal

Categories: All (3 found)

1. 26.05.2025

   Extended trade tax deduction where first property sales occu ...

   According to a decision of the Supreme Tax Court, commercial property trading - which is harmful for the extended trade tax deduction - may be precluded under specific circumstances of the individual case if neither property sales nor preparatory measures are carried out within the five-year period and several property sales occur only in the sixth year.

   Categories: Supreme Tax Court cases

   Keywords: IFRS (Asset Management), extended trade ...
2. 30.04.2025

   Tax treatment of shareholder loan granted to asset-managing ...

   A shareholder loan granted to an asset-managing partnership is not recognized from a tax point of view insofar as the company's loan liability is attributable to its shareholder for tax purposes (Section 39 (2) no. 2 of the German Fiscal Code). According to a recent decision of the Supreme Tax Court, the loan agreement neither leads to deductible income-related expenses for the borrower nor to income from capital assets for the lender but is rather considered a tax-neutral contribution. This would be different only in the case of commercially active partnerships.

   Categories: Supreme Tax Court cases

   Keywords: IFRS (Asset Management), partnership, sh ...
3. 29.04.2025

   Tax treatment of shareholder loan granted to asset-managing ...

   A shareholder loan granted to an asset-managing partnership is not recognized from a tax point of view insofar as the company's loan liability is attributable to its shareholder for tax purposes (Section 39 (2) no. 2 of the German Fiscal Code). According to a recent decision of the Supreme Tax Court, the loan agreement neither leads to deductible income-related expenses for the borrower nor to income from capital assets for the lender but is rather considered a tax-neutral contribution. This would be different only in the case of commercially active partnerships.

   Categories: Supreme Tax Court cases

   Keywords: IFRS (Asset Management), shareholder loa ...