1 Facts
The object of G’s sole proprietorship was the acquisition of real estate assets. G was the sole shareholder and managing director of the plaintiff, a limited liability company (GmbH). The plaintiff’s business objective was the letting and management of real estate.
2 Reasons for the decision
In view of the plaintiff’s clear financial and organisational integration into G, the economic integration need not be so clear. All that is required is a reasonable economic link.
3 Consequences for the practice
After a series of decisions on the admissibility of the German VAT group per se and the integration of partnerships, the BFH has now again dealt with economic integration. Significant in this respect are the BFH’s comments on indirect economic integration.
Source: www.kmlz.de
