The Lower Tax Court of Baden-Wuerttemberg ruled in three proceedings that Sweden has the right of taxation, even if at the time of the gift the gift tax had been abolished in Sweden. In case a donor has his residence both in Germany and Sweden, it is decisive where his main place of residence is. Continue reading
Tax & Legal
The Supreme Tax Court has rejected an assessment to gift tax on a supposed hidden distribution to a shareholder on the grounds that a shareholder’s receipt of a hidden benefit is his investment income. Continue reading
The Supreme Tax Court has held that credit for foreign gift tax is limited to the amount paid in the year of each gift. Lost credit in a prior year cannot be recovered against the higher tax now payable by reason of a higher progressive rate.