02.12.2024 Taxation of benefits from a Swiss family foundation The Supreme Tax Court decided that the one-time cash payment and distribution of shares to the plaintiff from a Swiss-based foundation in 2017 (year in dispute) was subject to German income tax as income from capital investment pursuant to Section 20 (1) no. 9 of the German Income Tax Act. In its decision the court explained under which circumstances the income from such a benefit is economically comparable to a regular profit distribution. Categories: Supreme Tax Court casesKeywords: distribution, foreign foundation
16.01.2023 No charitable status for Austrian foundation The recognition of a foreign foundation as a charitable foundation is based solely on German law. In its ruling, the Supreme Tax Court further states that the German legislator is not obliged under EU law to recognize a non-profit status established under foreign law. Categories: Supreme Tax Court casesKeywords: charitable status, foreign foundation
22.02.2022 German tax implications on benefits granted by foreign found ... Are payments and contributions in kind from a foreign family foundation subject to German income tax? And what is the situation as regards the gift tax? Two tax court decisions shed some light. According to the Supreme Tax Court there is no gift tax liability for the beneficiary. The Regional Tax Court of Hamburg is of the opinion that a one-time payment from the foundation is subject to German income tax. Categories: Tax CourtKeywords: gift tax, family foundation, beneficiary ...
