1. Introduction
The liability of a tax advisor is a complex and sensitive issue in German tax law.
An error in tax advice, structuring and/or assessment can not only lead to financial losses for the client, but can also give rise to significant liability claims against the tax advisor.
Ten points in tax law are discussed below where the liability of a tax advisor is particularly high and which both parties should pay particular attention to.
2. 10 liability-relevant points for potential tax advisor liability
Both the tax advisor and his mandate should pay attention to the following points:
a) Unrecognized dissolution of a business split
Business demerger is a complex construct in which a company is divided into different units. The resolution of such a split can have tax consequences that are often overlooked. A tax advisor who does not recognize the signs of such a dissolution may be held liable for the resulting tax disadvantages (particularly in the event of an unwanted dissolution).
b) Missing deadlines for tax returns and objections
Compliance with deadlines is crucial in tax law. If a tax advisor misses these deadlines, this can lead to late payment surcharges, interest and other financial disadvantages for the client.
c) Incorrect tax planning
The tax structuring of a company or private individual is a complex area. Incorrect advice can lead to significant tax disadvantages and therefore liability claims.
d) Inadequate examination of tax assessments
Tax assessments must be checked carefully. Errors or ambiguities can lead to an incorrect tax burden. A tax advisor who fails to do this may be held liable for the financial consequences.
e) Lack of information about tax risks
A tax advisor must inform his client about all tax risks associated with a particular act or omission. If he fails to do this, he may be held liable for any damage.
f) Errors in the transfer of assets
The transfer of assets, whether as part of a business succession or for other reasons, is tax-complex. Mistakes can lead to significant tax disadvantages.
g) Inadequate advice on international tax issues
Globalization does not stop at tax law. A tax advisor who does not adequately inform his client about the tax consequences of international transactions can be held liable for the resulting disadvantages.
h) Incorrect assessment of company values
The valuation of company assets is important for many tax issues. Errors can lead to an incorrect tax burden and thus to liability claims.
9. Insufficient documentation and traceability of the advice
The documentation of the advice is crucial for the liability of a tax advisor. If this is missing, it can be difficult to understand the decisions and recommendations made.
10. Incorrect or missing advice on tax audits
Audits are often a major challenge for companies. A tax advisor who gives incorrect advice or does not provide necessary documents can be held liable for the resulting financial disadvantages.
3. Conclusion
The liability of a tax advisor under German tax law is a complex and multi-layered issue. Errors can lead to significant financial disadvantages for the client and thus to high liability claims against the tax advisor.
It is therefore important that both the tax advisor and the client identify and pay particular attention to such potential “sources of liability”.
This article does not represent specific and individual legal advice, but rather only provides a rough initial overview of the very complex legal matter described. You can only obtain legal certainty for your specific case constellation through coordinated examination and advice from an expert lawyer.
I would be happy to assist you as a lawyer and specialist lawyer for a legal assessment and assessment of your case and represent your interests assertively and resolutely. the tax authorities, tax investigators, tax advisors and insurance companies. Please feel free to contact me by phone or write to me.
I advise nationwide on site or via Zoom as a specialist lawyer in the legal areas of corporate law, tax law and insolvency law, including in the cities and metropolitan areas around Stuttgart, Heilbronn, Karlsruhe, Freiburg, Ulm, Augsburg, Munich, Frankfurt, Wiesbaden, Saarbrücken, Kaiserslautern, Bonn, Wuppertal, Duisburg, Nuremberg, Münster, Saarbrücken, Düsseldorf, Cologne, Dortmund, Hanover, Kassel, Leipzig, Dresden, Bremen, Hamburg and Berlin.
#tax assessment #determination deadline #business demerger #termination #dissolution #tax consequences #liability #liability claim #tax advisor #tax advisor liability #damages #tax sources of risk #shareholder #tax dispute #objection #objection procedure #finance court #finance court proceedings #tax law #specialist lawyer corporate law #specialist lawyer tax law #lawyer #lawyer #specialist #specialist lawyer
#Tax #advisor #liability #liabilityrelevant #points #trigger #damages #tax #advisor
