FYB 2022 Real Estate Tax Compliance – recent developments

Fund Jurisdiction Act: News for Private Equity and Real Estate

According to the explanatory memorandum to the Act, the primary objective of the Fund Jurisdiction Act was to improve Germany’s international competitiveness as a location for employee share ownerships, particularly with regard to start-ups. In addition, the disadvantage for Germany as a Fund Location caused by VAT levying on the administrative services of venture capital funds was to be eliminated as well. Almost unnoticed and shortly before its adoption by the Bundesrat, a significant improvement in the so-called extended trade tax reduction for real estate companies also found its way into the law. This article will briefly introduce the latter two topics with a view to practical applications.

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Link to LM Audit & Tax GmbH at FYB

Author: Thomas Jäger,
Tax Advisor, Managing Director, LM Audit & Tax GmbH, München

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