Real Estate Assets
The extended municipal trade tax exemption for real estate is about as certain as a hike through a moor. The exemption from trade tax is not that difficult to obtain; the challenge lies in not losing it. Selling the last property of a real estate company, owning and renting movable assets, managing a parking lot, and generating and marketing electricity from renewable sources are risks to maintaining favorable taxation.
The choice of legal form has significant tax implications. Individuals who own real estate directly are taxed on rental income at their personal income tax rate. Alternatively, a real estate limited liability company (GmbH) can be considered. This enables lower taxation at the company level, but capital gains taxes are incurred when dividends are distributed to shareholders. A GmbH & Co. KG can also offer interesting tax advantages, especially for family businesses.
The tax depreciation of buildings (AfA) reduces taxable income and should be used to best effect. In the case of old buildings, renovation costs can also be written off under certain conditions, and the depreciation of listed buildings can also result in significant tax savings.
Estate planning is crucial for real estate, as inheritance and gift taxes can quickly reach high amounts. Strategies such as usufruct, anticipated succession or the use of family companies help to save taxes and facilitate the transition.
Well-founded planning increases economic benefits and minimizes tax risks.
Further services
We help you to see through the jungle of German tax law.
Company purchase and sale
As a rule, you only sell your own business once. Taking over a market competitor can be part of the strategy or a happy coincidence. We plan and structure the process with you, even across borders, and actively participate in its implementation.
Financial and investment planning
Sure, you can do without – if you have enough money in your account or know what works from your gut. For everyone else: Makes sense! Planning with details on depreciation, personnel cost development, development of inventories and changes in inventories, pre-tax and after-tax results, with cash flow and assessment of debt servicing capacity is indispensable if a really big investment is in the offing.
Payroll and financial accounting
Payroll and financial accounting is the foundation for annual financial statements and tax returns. The highest possible quality not only minimizes the risks in audits, but also provides you with a clear view of your company’s development at all times.
Your contact persons
Uwe Goebel
Managing director, tax consultant, lic. oec HSG
Stefan Esders
Managing director, tax consultant, Business lawyer (LL.B.)