Tax & Legal

Categories: All (10 found)

1. 14.12.2025

   No gift tax exemption for contributions to state foundation

   Donations to a foundation with legal capacity established by a federal state are not exempt from gift tax if, according to the purposes specified in the statutes of the foundation, the donations do not exclusively serve the purposes of the federal state and are not exclusively used for tax-privileged purposes. This is the conclusion reached by the Supreme Tax Court in a recently published decision.

   Categories: Supreme Tax Court cases

   Keywords: donations, gift tax, foundation
2. 01.09.2023

   Charitable contribution may be tax deductible even if return ...

   According to a decision of the Supreme Tax Court, the mere fact that a foundation returns the amount it previously received from the donor to the latter within a short period of time as an interest-bearing loan and uses the interest income earned to promote its tax-privileged statutory purposes is not in itself a reason to deny the tax-deductibility of the contribution as donation.

   Categories: Supreme Tax Court cases

   Keywords: donations, charitable organization
3. 30.12.2022

   Donation receipts for membership fees to music club not reco ...

   Membership fees paid to a charitable organization that promotes cultural activities which mainly serve the furtherance of recreational and leisure activities are not deductible as special personal expenses for income tax purposes.

   Categories: Supreme Tax Court cases

   Keywords: membership, donations, charitable organi ...
4. 14.04.2020

   Further tax measures to assist people affected by the Corona ...

   In coordination with the Supreme Tax Authorities of the federal states ("Länder"), the Federal Ministry of Finance published further tax measures to assist those affected by the Corona crisis in its circular dated 9 April 2020.

   Categories: Official Pronouncements

   Keywords: Coronavirus (COVID-19), donations, tax r ...
5. 25.01.2018

   Gift Tax : Benefit provided to person related to a sharehold ...

   The Supreme Tax Court decided in three separate cases that the payment of excessive consideration under the terms of a contract between a GmbH and a party related to the shareholder is not a partial gift by the GmbH, if the shareholder was involved in the conclusion of the contract between the GmbH and the related party. In such a case the benefit granted arises from corporate relationship between the GmbH and the shareholder. With these decisions the Supreme Tax Court has changedn its earlier jurisprudence on this question.

   Categories: Supreme Tax Court cases

   Keywords: Private Wealth, donations, related party ...
6. 16.01.2018

   Crowdfunding: treatment of donations

   The Federal Ministry of Finance published a circular on 15 January 2018 on crowdfunding and the conditions for its deduction as a charitable donation. The circular defines various types of crowdfunding and makes a distinction between classic crowdfunding, donation-based crowdfunding and debt-based crowdfunding (also referred to as peer-to peer lending or crowdlending).

   Categories: Official Pronouncements

   Keywords: Crowdfunding, donations
7. 06.05.2015

   EEA donations must be supported

   The Supreme Tax Court has held that donations to charities in other EEA countries must be supported by receipts and other documents. These documents need not necessarily be completely in conformity with the German forms, though they should demonstrate the substance.

   Categories: Supreme Tax Court cases

   Keywords: donations, European Economic Area (EEA)
8. 12.03.2014

   Charitable donations in other EU/EEA countries only deductib ...

   The Supreme Tax Court has held that a donation to a charity registered in another EU/EEA member state is only deductible if its statutes and actual management conform to all the German requirements.

   Categories: Supreme Tax Court cases

   Keywords: donations, charities
9. 24.05.2011

   Japan relief

   The finance ministry has added to its previous decree removing some of the formality from the required documentation of donations for the benefit of natural disaster victims in Japan.

   Categories: Official Pronouncements

   Keywords: disaster, donations, Japan
10. 24.05.2011

    Donations to EU charities deductible

    The finance ministry has called on tax offices to follow the ECJ Persche case on donations to EU charities, provided the taxpayer shows that the charity would have qualified as such in Germany.

    Categories: Official Pronouncements

    Keywords: donations, charities