Organschaft

Ist die deutsche umsatzsteuerliche Organschaft unionsrechtswidrig?

In der jüngeren Vergangenheit riefen beide Umsatzsteuersenate des BFH den EuGH zur Unionsrechtskonformität der deutschen umsatzsteuerlichen Organschaft an (vgl. unser Blog v. 5.8.2020). Nunmehr liegen die Schlussanträge der Generalanwältin in dem Verfahren des XI. Senats vor (C-141/20). Übernimmt der EuGH die Ausführungen, zeichnen sich möglicherweise große Steuerausfälle, jedenfalls aber umfassende Folgen für das deutsche Umsatzsteuerrecht […]
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Unternehmenskauf

VAT deduction right of PropCos located abroad owning/exploiting German real estate – VAT changes

In its decision C-931/19 (“Titanium”), the Court of Justice of the European Union (“CJEU”) ruled that a foreign company should not be considered as having a fixed establishment for VAT purposes („FE“) in a Member State if its activity in that country is limited to the ownership and the exploitation of real estate without having […]
Umsatzsteuersätze

Federal Ministry of Finance locks third-country taxable persons out of applying the TOMS regime (special regulation for travel agents, in acc. with Art. 306 EU VAT-Directive)

Germany’s Federal Ministry of Finance has been examining the taxation of travel services performed by companies based in third countries. In a letter issued on January 29, 2021 (bundesfinanzministerium.de), the ministry states that the special scheme for travel agents (Sec. 25 of the German VAT Act – UStG) will no longer be applicable if the […]
Investitionsabzugsbetrag BEPS, Country-by-Country-Reporting, Umsatzsteuer, R&D tax credit, CFC rules, EU Steuer, umsatzsteuerliche Organschaft, Hinzurechnungsbesteuerung, Werklieferungen, work supplies, Hinzurechnungsbesteuerung, Vorsteuerabzug von Kommunen, US-Steuerrecht, Optionsmodell

German Federal Ministry of Finance on work supplies (‘Werklieferungen‘)

In a letter dated October 1, 2020, the German Federal Ministry of Finance (‘BMF’) clarified that a work supply requires that an object not owned by the supplier is treated or processed. The BMF supplemented the VAT Application Decree accordingly. Work supplies Hence, a work supply is only given, if the manufacturer of the work […]
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Gemeinnützigkeitsrecht

New German tax court case about the fixed establishment concept for VAT purposes

The German Federal Tax Court issued a decision on a ‘fixed establishment’ for VAT purposes (ECLI:DE:BFH:2020:U.290420.XIR3.18.0). The case concerned a German business consultant who provides services in third countries on behalf of non-business customers. The question was whether an office building and employee, which have been made available to the consultant during his business trips abroad, […]
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Cash Pooling Fehlerbegriff Enforcement-Verfahren, Vat rates

Reduction of VAT rates in Germany between 1 July and 31 December 2020: Clarifications and simplifications at a glance

The German government surprisingly announced to reduce VAT rates for six months from 19% to 16% and 7% to 5%, respectively. This is pleasing consumers. However, it presents entrepreneurs with enormous challenges. Nearly all trade associations have criticised that the reduction of VAT rates is far too short-term. At the same time, they have called […]
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Unternehmenskauf

How to protect your cash tax position during the COVID-19 pandemic

While headlines are dominated by the global drop in stocks, the debt market (i.e. loans, bonds) is now being exposed to great risks. The new coronavirus outbreak has almost shut down the markets for newly issued debts, meaning debt sources are being ever more depleted. This, while companies need cash injections more than ever. For […]
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