Advice to non-profit institutions
Non-profit organizations are faced with a wide variety of tax issues. The principles of non-profit law anchored in the tax code are largely in need of interpretation. Violations are often recognized too late and can trigger sanctions that can lead to retroactive denial of the non-profit status.
The consequences can be serious. In addition to the often irreparable damage to image, violations often result in large-scale additional tax claims.
Preventive advice can help to uncover any risks and to coordinate these with the tax authorities in advance.
Advising companies in connection with donations to charitable institutions
There are numerous points of contact between private companies and non-profit organizations. Their importance has increased significantly in recent years, not least because of the increasingly attractive tax framework. Many companies have now recognized the mutual advantages of charitable activities and have expanded their commitment through targeted and promotional sponsoring. It is important to coordinate the often conflicting tax interests of the sponsor and the non-profit organization and to achieve the highest possible effectiveness for both parties through appropriate tax planning.
Advice to private individuals and entrepreneurs on the occasion of charitable engagements
In addition to the personal commitment and active participation of private individuals in charitable institutions, the donation of money and assets plays a decisive role for the existence of the entire non-profit sector. Through the targeted exhaustion of the legal framework conditions of tax law, the efficiency of the grant can usually be optimized. The possibilities for private engagement are very complex. In addition to ongoing donations, the use of extensive donations, e.g. through the inheritance or lifetime donation of larger assets to charitable foundations more and more important.
Several goals can be achieved with the use of a non-profit foundation as part of a corporate succession. Securing the continued existence of the company, especially if there are no suitable successors. In addition, long-term support for charitable purposes through the earmarked use of funds from the company’s income. With a foundation solution tailored to the individual circumstances, the property and maintenance interests of the heirs can be brought into harmony and coordinated with the charitable donation intentions of the testator.
Our services in the area of non-profit / public benefit
- Tax advice on the design of sponsoring
- Entrepreneurial and private succession planning through a non-profit foundation and family foundation
- Ongoing advice on a case-by-case basis on all issues relating to non-profit tax law
- Support on the occasion of tax disputes with the financial administration, e.g. on the occasion of external tax audits through to representation before the tax courts
- Preparatory coordination of questions of doubt and interpretation with the tax authorities in the context of binding information
- Tax-oriented design through donations and donations (individual development of tax-optimized concepts)
- Ongoing tax advice to non-profit associations and foundations, including declarations and accounting
- Voluntary and statutory final exams of non-profit institutions as well
- Review of compliance with the statutes and statutory non-profit-making requirements
Interdisciplinary consulting approach
Complex arrangements, for example the corporate succession plan through the use of a foundation or the establishment of a non-profit private foundation, often raise a multitude of interrelated corporate, tax and legal issues.
If necessary, we consult experienced specialists from our network (Munich Foundation Center, lawyers, notaries, property experts) with whom we work closely. This ensures a coordinated implementation, taking into account all relevant aspects.