Muenster tax court 06.02.2024 - 2 K 842/19 F: Holding activity without participation in the sales market of the host state

Add-back taxation and substance - two key aspects of international tax law and the structuring of foreign shareholdings, according to POELLATH professionals Raphael Baumgartner and Bianca Disch. While the tax authorities are increasingly examining the substance requirements in detail and critically, particularly in the context of add-back taxation, the Münster tax court ruled in favor of taxpayers on the basis of European law. In their article, Baumgartner and Disch summarize the facts of the case on which the decision was based and why the tax court ruled as it did.