The tax cut will strengthen Germany’s attraction as an industrial location. The planned tax exemption of corporations’ profits from the sale of equity stakes will facilitate corporate restructuring. Germany is likely to become more attractive as a location for holding companies. In all, the tax plans are an important and welcome beginning which should be followed by further steps.
We understand that everyone involved in this space is seeking clarity. One of the most important tools that we have as a regulator is the ability to clearly articulate our supervisory expectations. It is also our most direct path to encouraging and supporting responsible innovation.