Germany - Tax Treatment of US S-Corporations under the Germany–US Tax Treaty
- Richard Resch
- European Taxation, 2009 (Volume 49), No 3
- 1 March 2009
In this article, the author discusses a recent decision of the German Federal Tax Court wherein the Court addressed the applicability of treaty benefits under the 1989 Germany–US tax treaty and protocol to US S-Corporations and determined that such corporations must be granted the participation exemption under Art. 10(2)(a) of the treaty. The author further discusses whether or not the same may still apply following the entry into force of the 2006 protocol to the treaty.