Field help:
(2023)
Is any other income included which is subject to the partial income procedure?
Does it include other income that is subject to the partial income procedure?
According to the partial income procedure, 60% of income and capital gains from participations in corporations (shares, GmbH shares, cooperative shares) are taxable. On the other hand, only 60 % of the expenses are deductible as income-related expenses.
Thus, if you hold shares in corporations as business assets, you must separately declare dividends and profit distributions received that are included in your income from trade or self-employment and only 60% of which is taxable in Form G (Anlage G) or Form S (Anlage S). The tax-free part is 40% of the income according to sect. 3 no. 40 of the Income Tax Act (EStG).
If necessary, please contact your local tax advisor or lawyer specialising in tax matters to obtain advice.
