• Tax Law: Key to a Closed Book
  • December 10, 2014 | Author: Michael Rainer
  • Law Firm: GRP Rainer LLP - Hamburg Office
  • For many people, tax law is a closed book. Expert help is frequently necessary in order to pay taxes correctly and at the same time avoid giving away too much money.

    GRP Rainer Lawyers and Tax Advisors in Cologne, Berlin, Bonn, Düsseldorf, Frankfurt, Hamburg, Munich, Stuttgart and London - www.grprainer.com/en conclude: Tax law is an extremely complex, independent field of law which everyone inevitably comes into contact with. If taxes are not properly paid, this can give rise to tax evasion. That is why the expert assistance of lawyers and tax advisors versed in tax law ought to be sought out when complicated tax issues arise.

    For a lot of taxpayers, submitting the annual income tax return takes care of the matter of tax. While there are a few perils that lie in wait here, many other areas of tax law are considerably more confusing, starting with inheritance tax and leading on to gift tax, corporation tax, value added tax, right through to international tax law.

    Good and well-founded advice is essential, first of all, in order to keep all tax matters in order and, secondly, to avoid paying too much tax out of ignorance. This is also particularly relevant to businesses, as it is necessary when the corporate form is being chosen to take account of various issues pertaining to tax law which can have a positive or a negative impact. The same applies to corporate restructurings, company succession, financing issues or transactions.

    There are also various points that need to be observed with regard to inheriting and bequeathing. Tax-optimising measures can save on inheritance tax. Subject to certain conditions, an occupied home, for instance, can remain completely tax free for spouses and children. Care should be taken if the estate contains untaxed illicit earnings. If these are not immediately reported to the tax authorities, the heirs render themselves guilty of tax evasion.

    In cases involving cross-border transactions, one usually needs to take into account international tax law. Even if, for example, parts of a company are relocated abroad or an international legal form is chosen for the company, the relevant tax regulations have to be observed.

    In order to avoid trouble with the competent tax authorities, expert advice and support from the outset are indispensable. Should a legal dispute nonetheless emerge, lawyers competent in the field of tax law can assist in enforcing and/or fending off claims.