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Supreme Court decides on the recognition of tax benefits for investments

The Third Civil Division of the Federal Court had to decide again on the question of recognition of tax benefits arising from an investment, (BGH, Judgement of 15.05.2010 - III ZR 336/08). The plaintiff sued the

defendant for damages for an investment, which he had drawn. He demanded back the subscription amount, the defendant said that the plaintiff has obtained tax benefits should be credited.

According to the BGH recognition of tax benefits is in the process damages the investor's generally not considered, although you might find the damages subject to taxation. Something else may also apply when Evidence of exceptional tax advantages exist to the injured remain under consideration of the controllability of the compensation, for such circumstances but with the injury, the pleading and proof.

According to the Federal Court judge would enforce a claim for compensation unreasonably difficult, if known tax benefits would be deducted from the investment of the compensation claim and leave it to the injured party would that be asserted from the taxation of compensation for handicaps at a later date . Moreover, would computational advantages that may arise from the fact that the victim a tariff reduction under § 34 para 1 No 1 Income Tax Act or a general lowering of tax rates leads to good, do not constitute exceptional tax benefits that would relieve the tortfeasor of his liability for damages.