VATupdate

Share this post on

Germany: Financial Integration in VAT Organschaft with Qualified Majority Rules

  • The BFH held that financial integration for a VAT group can exist even if the parent owns only 60% of the shares and the subsidiary’s articles require a two-thirds majority for shareholder resolutions.
  • This continues the post-EuGH approach that financial integration is not limited to holding a majority of voting rights; decisive influence can be sufficient under the overall facts.
  • The case concerns the VAT group requirement under Section 2(2)(2) UStG / Article 11 VAT Directive and clarifies how supermajority clauses affect the financial integration test.

Source: datenbank.nwb.de

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.



Sponsors:

Fiscal Solutions Bottom
VAT IT
Pincvision

Advertisements:

  • Zampa
  • RTC