Tax Consulting Services
Navigating German tax regulations requires expert guidance and a clear understanding of both national and international tax frameworks. Our tax consulting services provide businesses and individuals with strategic advice on tax planning, compliance and optimisation across Germany.
We support both local and international clients by helping them manage complex tax matters efficiently while identifying opportunities to optimise their tax position.
Strategic Tax Planning & Compliance
Effective tax planning helps businesses remain compliant while making informed financial decisions. Our team provides structured advice on corporate tax, VAT, income tax and other relevant tax matters, ensuring that your tax strategy aligns with your long-term business objectives.
We help businesses identify opportunities for tax optimisation, including deductions, tax exemptions and available incentives such as the German research allowance (Forschungszulage). Our goal is to ensure compliance with current regulations while helping clients structure their tax affairs in the most efficient way possible.
Tax Advice During Business Formation
Early tax planning is critical when establishing a business in Germany. Decisions made during the setup phase can have long-term tax implications.
We assist companies and entrepreneurs in making informed decisions when setting up their business, including selecting the appropriate legal structure, registering for tax purposes and establishing a compliant tax framework from the outset.
This ensures your business begins with a solid tax foundation and avoids complications later.
Ongoing Tax Advisory for Day-to-Day Business
Tax matters continue throughout the lifecycle of a business. We provide ongoing advisory services to support companies with everyday tax questions, compliance matters and regulatory developments.
Our team helps businesses remain up to date with changing tax laws while providing practical guidance on managing tax obligations as part of daily operations.
Cross-Border Tax Advisory
Companies operating internationally often face additional tax complexities. We provide guidance on cross-border tax issues, including international tax planning and transfer pricing considerations.
We also coordinate with IR Global partners on local tax and compliance requirements in other jurisdictions, helping clients remain compliant as they expand internationally or undertake cross-border projects. This ensures tax matters are managed efficiently and in line with both local and international requirements.
Our experience working with multinational businesses allows us to help clients manage international tax obligations while ensuring compliance with German tax regulations.
Withholding Tax Relief & International Investors
We assist companies and investors in understanding and applying for relief from German withholding tax (e.g. on dividends, royalties or similar payments) under § 50d EStG. In certain circumstances, foreign investors may be entitled to a reduction or exemption from withholding tax under German domestic law or applicable double taxation treaties.
Our team provides guidance throughout the process, helping ensure that applications are prepared correctly and submitted in accordance with German tax regulations.
Support for International Companies in Germany
International businesses operating in Germany often require specialist tax guidance to ensure compliance with local regulations while aligning with global tax structures. We assist multinational companies with German tax advisory services, helping them manage both domestic and international tax considerations.
In the area of the construction industry special certificates are needed like the certificate of exemption under Section 48b of the German Income Tax Act (EStG) exempts contractors from withholding tax on construction services. Without it, clients are legally required to withhold 15% of the invoice amount and remit it directly to the tax office. The certificate ensures that the contractor receives the full invoice amount.
Our team supports businesses located in Munich as well as organisations operating across Germany.
Frequently Asked Questions
What does tax consulting include in Germany?
Tax consulting typically includes tax planning, compliance support, optimisation of tax structures, and advisory services relating to corporate tax, VAT and income tax.
When should a business seek tax consulting support?
Businesses often seek tax advice during company formation, when expanding internationally, or when managing complex tax matters or regulatory changes.
Can international companies receive tax advice in Germany?
Yes. International companies operating in Germany often require specialised guidance to ensure compliance with local tax regulations and cross-border tax requirements.
What is the German research allowance (Forschungszulage)?
The Forschungszulage is a tax incentive that supports companies conducting research and development activities in Germany.
What is construction withholding tax (Bauabzugsteuer)?
Construction withholding tax (§ 48 EStG) requires clients to withhold 15% of the gross invoice amount for construction services and pay it directly to the contractor’s tax office.
Can losses be carried forward in Germany?
Yes. Under Section 10d of the German Income Tax Act (EStG), tax losses may be offset against profits from previous years (loss carryback) or future years (loss carryforward).
Is loss carryforward limited in Germany?
Losses of up to €1,000,000 may generally be carried forward without limitation. Losses exceeding this amount may be deducted up to 70% (2024–2027) of taxable income exceeding €1,000,000. Any remaining losses can be carried forward to future years.
When can tax losses no longer be carried forward?
Under Section 8c of the German Corporation Tax Act (KStG), tax loss carryforwards may be forfeited if more than 50% of a company’s shares are transferred within a five-year period.