News on moving to a low-tax country: The BFH decision of 14.01.2025 (IX R 37/21)

Moving abroad is and remains an ongoing topic, especially among wealthy private individuals. However, it should be noted that moving to a low-tax country can have subsequent tax consequences in Germany. In particular, the expatriate remains liable for tax in Germany (extended limited) under certain conditions. In his article for the DER BETRIEB tax board, Hanno Dassel provides an overview of a recent BFH decision from 14.01.2025 (IX R 37/21), in which the BFH comments on key questions regarding the requirements for so-called extended limited tax liability when moving to countries with so-called preferential tax regimes and how this decision could affect the treatment of existing preferential tax regimes in Europe.