Dispatch approval as disguised profit distribution

Agreements between a capital company and its shareholders are only given tax recognition if they outward sufficient to express have clear and unambiguous content and also Between strangers under equal conditions would have been completed. The payment of a voluntary departure a managing director can, in particular, be a hidden profit distribution represent when the underlying agreement does not uphold the principle of fungibility. In this case, the appropriateness of the Total equipment The CEO salary decisive. In a pre- Supreme Administrative Court The case ended in a decision in favor of the former sole proprietor (16.11.2009, 2005/15/0058), which concerned the fact that a nearly 60-year-old former sole proprietor was credited with 5 years of service in the course of a conversion from a GmbH, in which he subsequently served as managing partner, and that after a period of ten months of work then actually one Check-in paid out was. In the opinion of the VwGH, this was not a contractual arrangement between unrelated parties, so that the Check-in fee also hidden profit distribution qualified.

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