Newsletters

Easy come, easy go
In August, the Federal Cabinet passed the government draft of the Act on the Financing of Future-Proof Investments (Financing for the Future Act). Among other things, the Act was intended to amend the German Investment Code in order to create certainty, at least under supervisory law, for the handling of investments in connection with renewable energies. However, these amendments did not survive the subsequent legislative process and were deleted from the Financing for the Future Act without replacement.
Note: This newsletter is only available in German language.
12.10.2023

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Growth Opportunities Act and Interest Barrier – Restricting instead of Growing
The extensive draft (just under 280 pages) for a law to strengthen growth opportunities, investment and innovation as well as tax simplification and tax fairness (Growth Opportunities Act) contains a number of changes that are important for the real estate industry. We had presented the adjustments envisaged for real estate funds in the Investment Tax Act as a result of the Growth Opportunities Act in our beinformed dated July 27, 2023. Today, we would like to highlight the - in implementation of the ATAD - planned, far-reaching changes to the previous interest barrier regulation as well as the additional introduction of a so-called interest rate cap (Zinshöhenschranke) by the Growth Opportunities Act.
Note: This newsletter is also available in German language:
Federal Ministry of Finance on the tax treatment of side pockets
In January of this year, we had reported on the draft of the equitable/fairness and simplification regulation of the German Federal Ministry of Finance with regard to investment funds that segregate illiquid assets into so-called side pockets (our beinformed dated January 17, 2023). On August 25, the Federal Ministry of Finance published the final version. The inherent problem of the draft being too narrow in scope has been remedied.
Note: This newsletter is only available in German language.
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