Ask a tax advisor on the topic of Other questions to tax advisors

Establishment of a GmbH

June 18, 2015 | 25,00 EUR | answered by Ralph J. Schnaars

Dear Sir or Madam,

In December 2014, private individual A purchased a guesthouse from entrepreneur B for €10,000 according to the purchase contract. (Entrepreneur B was the owner of the guesthouse). Entrepreneur B deregistered his business on February 28, 2015. Private individual A transferred (verbally) the acquired guesthouse to his son C. Son C then established a GmbH through a proper notarized contract on March 6, 2015 and now uses the acquired premises of the guesthouse (from his father) for the GmbH. Therefore, the guesthouse no longer exists, but instead, the GmbH xy exists from March 6, 2015. Son C becomes an entrepreneur.

1st question
Should the purchase price of €10,000 (in full) be booked in the GmbH on March 6, 2015, even though Son C, now an entrepreneur, has not paid the purchase price, but his father has? If yes, how should it be booked? Should a contract between father and son be made, possibly for the transfer of the guesthouse or similar?

2nd question
Entrepreneur B still has revenues and expenses until February 28, 2015. These were booked in the correct period. Entrepreneur B also has income and expenses until March 5, 2015. Since the business was deregistered on February 28, 2015, how should the income be booked after February 28, 2015, and also the expenses? Please provide the account details.

Thank you for your help.

Kind regards,

Ralph J. Schnaars

Dear inquirer,

I strongly advise against transferring a property (in this case, the pension) into a GmbH.

From what I understand of your situation, the father has orally handed over the pension to the son. The term "handed over" means "gift" in tax law. In your case, it would likely fall under the tax-free gift allowances. However, a change in the land register would also be necessary for proof.

If "handed over" means "renting out for free" in your case, the pension still belongs to the father and therefore cannot be transferred into the business by the son.

Regarding point 1, the purchase price cannot be recorded in the GmbH. A rental agreement between the father and the GmbH would be advisable.

Regarding point 2, the transactions after February 28, 2015, are considered subsequent business income and expenses. If these transactions only cover the next few days, they should be treated the same as the ongoing bookings of the previous months and simply integrated into the current accounting.

I hope I was able to assist you in your considerations.

Kind regards,

Ralph J. Schnaars

STWB Steuerberatungsgesellschaft mbH
Direct contact +49 (0)171 525 20 42
Email mail @ stwb-steuer.de