Effective from 2008, Germany's top marginal income tax rate rises from 42 to 45 per cent. However, sole proprietorships and partnerships can opt for a preferential tax rate of 28.25 per cent for retained profits (§ 34a EStG-E). If they do so, profits are taxed again upon distribution. Using...

For the valuation of a company it is necessary to take the in come tax of its owners into account. When looking at a squeeze-out with investors who have different wealth this implies that fair compensation payments will be different. This is in contradiction to the German Stock Companies Act. In...

The popular idea of increasing the inheritance tax revenue via a tax-rate-cut-cum-base-broadening-policy is based on macroeconomic estimates. These models apply national wealth and life tables to assess the size of aggregate inheritance. Microeconomic estimates based on the German Inheritance...

The German Inheritance Tax Reform Act 2009 was caused by the jurisdiction of the Federal Constitutional Court since the valuation procedures were not in line with constitutional requirements. However, similar to the criticized former law the new valuation procedures result in tax values widely...

Die (Wieder-)Einführung einer Vermögensteuer ist in den vergangenen Jahren erneut in den Fokus der politischen Diskussion gerückt. Der vorliegende Beitrag vermittelt einen Eindruck von den Belastungswirkungen, die aus der Umsetzung von aktuell vorliegenden Besteuerungskonzepten resultieren...

Effective from 2008, Germany's top marginal income tax rate rises from 42 to 45 per cent. However, sole proprietorships and partnerships can opt for a preferential tax rate of 28.25 per cent for retained profits (§ 34a EStG). If they do so, profits are taxed again upon distribution. Using...

The article analyzes the impact of the Tax Reform Act 2008 on financial decisions of incorporated and unincorporated firms.