Using an Exemption Certificate enables an investment fund to verify the fiscal status of its tax-privileged foreign investors. This is necessary for the eligibility to apply for the full or partial exemption from tax of their income (Section 8 InvStG 2018). The original of the issued Exemption Certificate must be transmitted to the investment fund for this purpose.

The income of the investment fund will not be exempt from tax and will be deemed taxable income if an Exemption Certificate has not been requested or presented to the investment fund.

An application for an Exemption Certificate can be made by a corporation with registered office and management in the following States assisting in administrative and recovery matters:

Belgium, Bulgaria, Denmark, Estonia, Finland, France, Greece, Ireland, Italy, Croatia, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Austria, Poland, Portugal, Romania, Sweden, Slovakia, Slovenia, Spain, Czech Republic, Hungary, United Kingdom, Cyprus, Australia, Liechtenstein, Canada.

Domestic tax-privileged investors should contact their competent tax office.

An application is useful for investors in investment funds which achieve taxable domestic income in terms of Section 6 InvStG 2018. Investors in investment funds which only generate interest do usually not require an Exemption Certificate.

No, the application must be filed by using an official form. For the application form, please click here.

Foreign investors should send the completed and signed application to the following address:

Bundeszentralamt für Steuern
Referat St II 5 – Investmentsteuer
53221 Bonn

The application for the issuance of an Exemption Certificate must be signed. Transmitting the application in simple electronic form (e.g. by email) is therefore not sufficient.

The Exemption Certificate will only be sent to an address abroad if permitted under international law. Under international law, the BZSt is not permitted to send Status Certificates by post to the following States: Egypt, Argentina, Brazil, China, Costa Rica, Gibraltar, Isles of Man, Jersey, Guernsey, Republic of Korea, Kuwait, Mexico, San Marino, Switzerland, Singapore, Sri Lanka and Venezuela. In such cases, it is absolutely necessary to specify a domestic (German) authorised recipient.

The date of validity is specified in the Exemption Certificate. The certificate can be issued with retroactive validity for a period of up to six months prior to the application date (date the application was received by post) upon request.

The issued Exemption Certificate is valid for a maximum of three years. The Federal Central Tax Office (BZSt) has the right to verify whether the prerequisites, which led to the issuance of the Exemption Certificate, still exist at any time during the validity period of the Exemption Certificate.

In terms of tax, a change of name is irrelevant as the legal and taxable entity does not change. Thus, a change of name does not affect the validity of the Exemption Certificate.

The prerequisite is that foreign investors are comparable to German tax-exempt investors. The comparability requires that the foreign investor

• is a corporation, association of persons or conglomeration of assets,
• which pursuant to its statute, act of foundation or other articles of association and in its actual management exclusively and directly serves public-benefit (Section 52 German Fiscal Code (AO)), charitable (Section 53 AO) or religious purposes (Section 54 AO) and
• that the tax-privileged purposes serve the advancement of natural persons inland or contribute to the reputation of the Federal Republic of Germany abroad.

The following documents must be provided together with the application as proof of eligibility:

• Excerpt from the commercial register or equivalent proof of registration in the country of origin
• Proof of recognition of public-benefit, charitable or religious purposes in the country of origin
• Statute, act of foundation or other articles of association
• Activity report
• Itemisation of revenue and expenditure
• Cash report
• Statement of assets and liabilities with proof of the creation and development of reserves
• Records about the receipt and appropriate use of donations
• Minutes of board meetings

If possible, these documents should be submitted electronically.

In this case, the certificate must be returned to the BZSt. This also applies if the certificate is reclaimed by the BZSt.