Also: Supporting Your Installation Project (“Montage”) in the United States
Kontaktieren Sie uns für eine vertrauliche Beratung.
Dr. Günther Grewe, WP RA StB CPA
+49 89 2351 3218 (15-23h CET / 9am-5pm EST)
+1 914 816 1115
Grewe@WP-RA-usa.com
Grewe@WP-RA-usa.com
Antje Klaunig, WP StB CPA
+49 89 6151 5973 (15-23h CET / 9am-5pm EST)
+1 914 205 6002
Klaunig@WP-RA-usa.com
Expert German-American Auditing and Tax Consulting in the US
As German-American auditing and tax consulting experts, we offer tailored consultation and support to help your business navigate complex tax laws, implement shared service centers, and provide comprehensive support for companies operating in multiple US states.
Establishing and Managing a US Subsidiary: Expert Assistance for German Companies
Your German Wirtschaftsprüfer und Steuerberater in den USA®
We provide invaluable support as auditors and tax consultants in the US. Our services transform your cost centers into value-driven units and leverage real-time data insights for strategic decision-making.
Please contact us for advice and support at +49 89 2351 3218 or +1 914 816 1115 (15-23h CET / 9am-5pm EST).
Optimizing a US Subsidiary for German Tax Planning
Structuring a US subsidiary to align with German tax requirements involves careful planning and coordination to ensure seamless integration of German and US tax regulations. As your trusted partner, we help develop an entity structure that meets both German and US stipulations, maximizing tax efficiency and minimizing risks.
Choice of Legal Form
Selecting the right legal form for your US subsidiary impacts liability and tax treatment in both the US and Germany. We advise choosing the legal form best suited to your specific needs and objectives.
Transfer Pricing
Setting transfer prices between the German GmbH and the US subsidiary requires meticulous planning. We assist in defining transfer prices that comply with international tax regulations and are economically beneficial.
Location of Management
In Germany, companies are taxed based on the location of management. Proper organization of your US subsidiary’s management is crucial to minimize tax impact in Germany. We consult on optimizing your subsidiary’s management structure for tax efficiency.
Centralized Administration and Accounting
Centralizing the administration and accounting of US subsidiaries offers significant benefits. By consolidating bookkeeping, you can reduce costs, use resources more efficiently, and ensure compliance with tax regulations in both the US and Germany. We support you in implementing and optimizing a centralized accounting system for your US subsidiary.
Benefits of Centralized Administration and Accounting
- Increased Efficiency: Consolidating accounting and administration cuts costs and improves resource utilization.
- Ongoing Compliance: Centralized bookkeeping ensures continuous financial oversight and adherence to tax regulations.
- Enhanced Decision-Making: Centralized financial data provides quick access to comprehensive information, aiding strategic decisions.
- Risk Mitigation: Standardized accounting processes reduce the risk of errors and irregularities.
Structuring a US subsidiary with German tax considerations is complex and requires careful planning. Our US tax experts help you develop an optimal corporate structure to maximize tax efficiency and minimize risks.
US Auditing and Tax Consulting Expertise
We assist in preparing German and American financial reports, facilitating shareholder meetings, and managing specific accounting processes through Agreed Upon Procedures (AUPs), typically in the form of “Reporting Packages” required by the parent company.
Navigating the Complexity of US Taxes
US tax law is intricate, with 51 tax jurisdictions (Federal Government and States). As your German Wirtschaftsprüfer und Steuerberater in den USA®, we guide you through these complexities, ensuring compliance with federal and state tax obligations.
Support for Companies Operating in Multiple US States
From establishment to daily operations, we provide comprehensive support for clients operating in multiple US states. With our expertise, technical equipment, and CPA qualifications, we assist in tax audits and voluntary disclosures at both federal and state levels.
Net Salary Agreements in International Assignments
Net salary agreements are crucial when deploying personnel overseas. Within the US tax framework, relocation expenses (excluding transportation costs) are part of the net salary. Our experts offer comprehensive consultancy services to optimize the tax implications in this domain.
Corporate Nexus and Voluntary Disclosure
In the US, Nexus refers to a sufficient physical or economic presence in a state that triggers tax obligations. If a previously unnoticed Nexus is discovered, the voluntary disclosure process allows for proactive clarification of the tax situation, minimizing potential penalties. We analyze your Nexus situation and guide you through the voluntary disclosure process, ensuring compliance with all tax regulations and optimizing your tax position.
Navigating U.S. Beneficial Ownership Reporting Changes in 2024
Corporate Transparency Act (CTA) Compliance
Starting January 1, 2024, the CTA requires many businesses and individuals to report beneficial ownership information to the Financial Crimes Enforcement Network (FinCEN). Beneficial owners are natural persons who ultimately own or control a company, directly or indirectly.
Who Needs to Report?
- Domestic Reporting Companies: Corporations and LLCs formed in the US.
- Foreign Reporting Companies: Companies incorporated under foreign law but registered to do business in the US.
Exemptions Include:
- Government Agencies
- Publicly Traded Companies
- Financial Institutions
- Registered Securities Professionals
- Large Operating Companies
Reporting Procedures
Affected companies must use FinCEN’s secure online system starting January 1, 2024, with external service providers available for assistance. Noncompliance risks civil or criminal penalties.
More Information:
Collaboration with German Consultants
We collaborate closely with your German consultants to support US subsidiaries’ tax and legal structuring. Our cultural expertise helps businesses make informed decisions. We also handle employment relationships, income allocation from domestic or foreign operations, and reporting foreign relations per German regulations.
Contact Us
For personalized advice and support, contact us at +49 89 2351 3218 or +1 914 816 1115 (15-23h CET / 9am-5pm EST).