Investors wanting to take advantage of tax benefits in connection with the acquisition of real estate need to take into account three different phases: the acquisition phase, the management phase and the exit. In the acquisition phase, the decisive roles are played mainly by real estate transfer tax (RETT) and the acquisition structure, while in the management phase the goal is to avoid an unnecessary trade tax burden. In an exit it is important to avoid a taxation of the gain on disposal where possible (see articles Optimised taxation of real estate investments in Trinavis Real Estate Letter No. 1/2015 and Optimised taxation of exiting real estate investments in Trinavis Real Estate Letter No. 2/2014).
In principle, there are two major alternatives to avoid trade tax: