Even institutions which are devoted to serving social or welfare-related objectives are not immune to the workings of tax law. This is the case not only for commercially active companies, but also for non-profit entities. Today, they are regularly audited by the financial authorities and, in some cases, quite intensively. Corporate income tax, corporation tax, VAT, non-profit and donations legislation, property transfer tax, real property tax, inheritance tax and gift tax – these are the main tax types and issues. Our activities fundamentally include: Processing of all on-going tax matters. Representation in tax courts and vis-à-vis authorities. Support for outsourcing, collaborations, mergers and privatisations. (Tax-related) wording of statutes.
We provide comprehensive legal advice to clients in particular in the following practise areas:
- Municipal, church, university, free non-profit and private sponsors,
- Operators of facilities in the field of health and disability care and support,
- Welfare associations,
- Welfare facilities,
- Science and research facilities,
- Facilities for the elderly,
- Mobile care services,
- Children’s and youth organisations,
- Donation collecting organisations,
- Cultural institutions
- Sports clubs and associations, as well as
- Nationally and internationally active relief organisations (e.g. in the field of development aid and disaster relief).
We are represented on relevant bodies such as the IDW and the German Hospital Federation in order to address aspects – for example, in the context of hearings in the legislative process – that are of importance for social institutions as early as possible. We are represented on bodies of social institutions, and particularly supervisory bodies; this helps us ensure a consistent focus of our consulting activities on the specific interests of enterprises in the health sector and the social economy. We regularly publish on fundamental and current tax issues in healthcare and the social economy, as well as regularly appear as keynote speakers at all major events.
Through our associate company, BDO LEGAL Rechtsanwaltsgesellschaft mbH, we cover all legal aspects relevant to the healthcare and social economy sector. We thus offer comprehensive legal, tax and business consultancy through our expert teams, whose composition is oriented on requirements for specific issues.
Areas of activity and expertise
- Consultation services for issues relating to non-profit-making and donation law
- Consultation services for issues concerning income tax imposed on institutions from the healthcare and social services sector, particularly in terms of determining the taxable income generated by taxable business operations,
- Consultation services for issues regarding the turnover tax imposed on institutions from the healthcare and social services sector, particularly in terms of the application and scope of tax exemptions, tariff reduction systems and input tax deductions,
- Advice regarding consolidated tax groups,
- Advisory and support for restructuring measures, mergers, spin-offs, privatisations and redevelopment,
- Advice and support when dealing with external tax audits,
- Supervision of proceedings before the tax courts, the Federal Fiscal Court and the ECJ
- Tax modelling of statutes and articles of association, as well as other types of contracts
- Advice for defining the transfer prices in the non-profit sector and formulating the contractual arrangements for performance-related contracts
- Revision or preparation of tax returns, including statements regarding the appropriation of funds
- Support for the electronic exchange of information with the tax authorities – for example, with the e-balance sheet which became relevant for NPOs in 2016
- Payroll accounting for salaried employees and financial accounting, particularly in the non-profit sector