Identifying Selective Advantages in the Context of the German Inheritance and Gift Tax Act Reform

Whenever government authorities have discretion, the practice of the European Commission, as well as the ECJ, is to assume that those authorities are affording certain businesses a selective advantage. Not every form of discretion, however, creates a selective advantage. This article analyses the factors that indicate that discretion amounts to a selective advantage in the context of a provision contained in the Draft Bill of 8 July 2015 on the Reform of the German Inheritance and Gift Tax Act.