Basic information Not everyone has the opportunity to make private provision for old age. For this reason, the German state has introduced an entitlement for employees to occupational pension provision. Employees have a legal right to so-called deferred compensation and to pay into a company pension scheme. This entitlement exists …
Especially for employees of start-up companies, there is a new regulation (§ 19a German Income Tax Act “EStG”) according to which income from the transfer of asset shares in the employer’s company is initially not taxed. This also applies if the asset participations are held indirectly via partnerships. The regulation applies …
A fiscal unity for VAT purposes pursuant to § 2 para. 2 no. 2 sentence 1 UStG (“German VAT act”) exists if a legal entity is financially, economically and organizationally integrated into the company of the controlling company according to the overall picture of the actual circumstances. The financial integration of …
How high should the managing director’s salary ideally be? What is the maximum with as little tax as possible? Here are a few practical examples: This week a client came to me for advice because he wants to convert his sole proprietorship into a limited liability company and wanted to know …
What does it mean? If there is a detrimental change of shareholders (change of more than 50% of the shareholders), the losses accumulated so far are lost. One way to avoid this is to apply for a continuation-linked loss carryforward. Requirements The prerequisite for this is that the essential core of the activity does …
The following is a brief overview of the #tax #benefits in the area of electric vehicles: Advantages for employees Free or reduced-price charging of the batteries of electric or hybrid electric vehicles at the employer’s premises is tax-exempt according to § 3 no. 46 EStG (German income tax act) if …
What do the accounting and recording obligations cover? Basically, a distinction is made between the accounting obligation under commercial law and the accounting obligation under tax law. Every merchant within the meaning of the HGB (German commercial Act) who has to prepare a commercial balance sheet is subject to the accounting …
As of July 1, 2021, significant changes in the area of VAT have come into effect as part of the implementation of the so-called VAT digital package. The provision of Section 3c UStG previously known as “mail order delivery” will now be renamed “intra-community distance selling”. The place of supply …
Under certain circumstances, the recipient of a construction service (all services that serve the construction, repair, maintenance, alteration or removal of structures) must withhold a 15% deduction from the consideration.Excluded are planning services, e.g. of architects, structural engineers, civil engineers and surveyors, as well as pure services for the supervision of construction, …
For some time now, there have been new financing offers for seniors on the real estate market. These include, above all, the partial sale of the property. In this case, the owner sells an ideal co-ownership share in the property (for example 20 % to 50 %) to a commercial …