Germany - New Case Law Developments in Germany: Finality of Foreign Permanent Establishment Losses
- Aleksandra Bal
- European Taxation, 2012 (Volume 52), No 1
- 8 December 2011
In this note, the author reviews, in light of EU law, the recent decision of the Finance Court of Lower Saxony regarding the tax treatment of losses incurred by a foreign permanent establishment that is subsequently wound up. The Finance Court held that such losses are final and must be taken into account by the head office in the year in which they became final.