Germany: “Planned cooperation” between charitable corporations (fiscal court decision)
“Planned cooperation” in pursuit of charitable purposes does not need to be set out in the articles of association of the cooperating corporations
“Planned cooperation” in pursuit of charitable purposes
The Hamburg Fiscal Court held (case no: 5 K 11/23, BeckRS 2023, 31187) that a “planned cooperation” between charitable, tax-exempt corporations in pursuit of charitable purposes does not need to be set out in the articles of association of the cooperating corporations. The court found that such a requirement could not be derived from either the statutory language or purpose.
The tax authority has appealed to the Federal Fiscal Court (BFH - V R 22/23).
Read an April 2024 report prepared by the KPMG member firm in Germany
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