German Federal Civil Court: Application of English law can Violate German Public
IIn its judgment dated June 29, 2022 (Case No. IV ZR 110/21), the Federal Court of Justice upheld the decision of the Cologne Court of Appeal. The Cologne Court of Appeal had previously held in its judgment of April 22, 2021, file no. 24 U 77/20, that English law regarding the compulsory…
Cologne Court of Appeal: Application of English law can violate the German Public Policy
The Cologne Court of Appeal has held in its judgment of April 22, 2021, file no. 24 U 77/20, that English law regarding the forced share is not applicable due to a violation of German public policy if a UK national (with the closest connection to England) with habitual residence in Germany elects…
German Federal Fiscal Court Ruling on Taxation of Distributions from a Foreign Family Foundation and a Foreign Trust
In its decision dated July 3, 2019, the German Federal Fiscal Court (Bundesfinanzhof) held that distributions from a foreign family foundation (ausländische Familienstiftung) to an individual which has a fiscal residence in Germany are subject to German gift tax (Schenkungsteuer) under §…
FG Münster: Deed of Variation not recognized in Germany for Inheritance and Gift Tax Purposes
The Tax Court of North Rhine-Westphalia (Finanzgericht Münster) has held on 12 April 2018 , that German inheritance tax (Erbschaftsteuer) cannot be avoided or reduced by a deed of variation (under British law) as the German inheritance tax is triggered by the death (and not the…
UK: Draft Inheritance and Trustees’ Powers Bill
Draft Inheritance and Trustees’ Powers Bill Overview: Introduction: Consultation on the draft Inheritance and Trustees’ Powers Bill. This Bill gives effect to the recommendations in parts 2–7 of the Law Commission’s report, Intestacy and family provision claims on…
Succession regulation published and will apply from 17 August 2015
Regulation (EU) No 650/2012 of the European Parliament and of the Council of 4 July 2012 on jurisdiction, applicable law, recognition and enforcement of decisions and acceptance and enforcement of authentic instruments in matters of succession and on the creation of a European Certificate of…
UK: Statutory definition of tax residence
HM Treasury has set out its plans to reform the definition of tax residence in the light of last year's consultation.
Comments: Inheritance tax (IHT) liability will not be affected. Liability to inheritance tax (IHT) is mainly determined by an individual’s domicile status rather than…
Double Taxation Convention between UK and Liechtenstein
A first-time comprehensive Double Taxation Convention between the UK and the Principality of Liechtenstein was signed in London on 11 June 2012 by David Gauke MP, Exchequer Secretary to the Treasury and Dr Klaus Tschütscher, the Prime Minister of Liechtenstein. Together with the Third Joint…
England and Wales: Reform of Family Provision Claims on Death
Whether or not the deceased left a will, certain family members and dependants may apply to court for reasonable financial provision from the estate, under the Inheritance (Provision for Family and Dependants) Act 1975 (“the 1975 Act”). This is often referred to as a claim for family…