Episode 1: Exit tax
What happens if a partner leaves Germany and moves his or her residence abroad? How will earnings and property be taxed?
In episode #1 of the Stückmann tax podcast, Prof. Dr. Oliver Middendorf, Niels Doege and Florian Weeg speak from their experience as certified tax advisers, public auditors and lawyers about the consequences of and how to deal with exit tax imposed by the German state.
CONCLUSION
Exit tax applies to partners who leave Germany - for example, by giving up their main residence in Germany or relocating their habitual residence abroad. In this case, taxes are due on the potential capital gain for company shares. Often, however, the capital for this is tied up in the company. This challenge can also affect children from family businesses who as partners relocate abroad to study. Which countries are affected? When is the tax due? What happens next? In the podcast Prof. Dr Oliver Middendorf, Niels Döge and Florian Weeg discuss the triggers, practical examples, problems and possible solutions.
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