German Growth Opportunities Act: A Legacy and other claims to transfer domestic assets are subject to German Inheritance Taxbility

The German Growth Opportunities Act amends the German Inheritance Tax and Gift Tax Act by inserting the words "or includes a claim to the transfer of…

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Germany: Amendment to the Rules on the Taxation of Lifetime Benefits from Foreign tax-priviledged Retirement Assets

The Annual Tax Act 2024 amends the rules on the taxation of a lifetime benefit from a foreign tax-priviledged retirement account /  pension plan. §…

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German Federal Fiscal Court Ruling on Gift Tax triggered by Distributions from a Foreign Trust

In its decision dated June 25, 2022, file no. II R 31/19 the German Federal Fiscal Court (Bundesfinanzhof) held that distributions from a Foreign pool…

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German Federal Fiscal Court: Assets titled in Trust to which the Grantor has reserved comprehensive Powers are to be considered owned by him for German Inheritance and Gift Tax Purposes

The German Federal Fiscal Court (Bundesfinanzhof) has held in its judgment of June 25, 2021, file number II R 13/19, that assets in a trust to which…

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Decicison of the German Federal Fiscal Court on the Taxation of Distributions from a 401(k) to Beneficiary in Germany

1) Distributions from a 401(k) are other income pursuant to Section 22 No. 5 Sentence 1 of the German Income Tax Act (Einkommensteuergesetz, EStG).

2…

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German Inheritance Tax: Tax-free Exemptions in 2021

Personal Tax-free Exemption for 2021

The personal tax-free exemption (Freibetrag) depends on the familial relationship between deceased and…

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Concerns about a reduction in the U.S. Estate and Gift Tax exclusions? Make a gift now to benefit from historical exclusion levels.

The U.S. Treasury provided clarity for estate planners and their clients by issuing regulations that confirm that individuals who make gifts now…

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The Curtailing of Stretch IRAs

Effective January 1, 2020, the use of IRAs as an instrument for passing a stream of income tax free or tax deferred withdrawals will be limited to ten…

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German Gift Tax on Distributions from a U.S. Trust to a German resident Subsequent to an Election under Art. 12 para 3 of the Germany-U.S. Estate and Gift Tax Treaty

On March 6, 2019 the Ministry of Finance of Brandenburg published a binding decision on the taxation of distributions from a U.S. trust subsequent to…

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German Federal Fiscal Court Ruling on Taxation of Distributions from a Foreign Family Foundation and a Foreign Trust

In its decision dated July 3, 2019, the German Federal Fiscal Court (Bundesfinanzhof) held that distributions from a foreign family foundation…

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