What is 1 21 2 20 3

(1) The income from capital assets includes
1.
Profit shares (dividends), yields and other remuneration from shares, profit participation rights, with which the right to the profit and liquidation proceeds of a corporation is connected, from shares in companies with limited liability, in acquisition and business cooperatives and in mining associations that exercise the rights of a legal entity Person have. 2The other remuneration also includes hidden profit distributions. 3The remuneration does not belong to the income insofar as it comes from distributions by a corporation for which amounts from the tax deposit account within the meaning of Section 27 of the Corporate Income Tax Act are considered to be used. 4Other remuneration also includes income that is received instead of the remuneration within the meaning of sentence 1 by someone other than the shareholder in accordance with paragraph 5, if the shares are acquired with dividend entitlement but are delivered without dividend entitlement;
2.
Remuneration that accrues after the dissolution of a corporation or association of persons within the meaning of number 1 and which does not consist of the repayment of nominal capital; Number 1 sentence 3 applies accordingly. 2The same applies to payments that arise as a result of a capital reduction or after the dissolution of a corporation or association of persons with unlimited tax liability within the meaning of number 1 and which are deemed to be a profit distribution within the meaning of Section 28 (2) sentences 2 and 4 of the Corporate Income Tax Act;
3.
Investment income in accordance with Section 16 of the Investment Tax Act;
3a.
Special investment income in accordance with Section 34 of the Investment Tax Act;
4.
Income from participation in a trade as a silent partner and from profit participation loans, unless the partner or lender is to be regarded as a co-entrepreneur. 2Section 15 (4) sentences 6 to 8 and Section 15a shall apply mutatis mutandis to the silent partner's shares in the loss of the business;
5.
Interest on mortgages and land charges and annuities on pension debts. 2In the case of redemption mortgages and redemption mortgages, only the part of the payments that is due as interest on the respective residual capital is to be recognized;
6.
the difference between the insurance benefit and the sum of the contributions (income) paid on it in the event of survival or in the case of surrender of the contract in the case of annuity insurance with lump-sum option, unless the lifelong annuity payment is selected and paid, and in the case of endowment insurance with a savings component, if the contract is concluded after 31 December 2004 has been completed. 2If the insurance benefit is paid out after the taxpayer has reached the age of 60 and twelve years after the conclusion of the contract, half of the difference is to be applied. 3If the right to the insurance benefit is acquired against payment, the acquisition costs take the place of the premiums paid before the acquisition. 4Sentences 1 to 3 are to be applied accordingly to income from unit-linked life insurance, to income in the event of survival for annuity insurances without the right to choose capital, provided that no lifelong annuity payment is agreed and made, and to income from the surrender of the contract for annuity insurances without the right to choose capital. 5If a separate management of capital investments specially compiled for this contract is agreed in an insurance contract, which is not limited to publicly distributed investment fund shares or investments that reflect the development of a published index, and the beneficial owner can directly or indirectly via the sale of the assets and determine the reinvestment of the proceeds (asset management insurance contract), the income accruing to the insurance company is to be allocated to the beneficial owner from the insurance contract; Sentences 1 to 4 do not apply. 6Sentence 2 does not apply if
a)
in a endowment life insurance contract with an agreed ongoing premium payment in at least the same amount up to the point in time of survival, if the insured risk occurs, the agreed benefit is less than 50 percent of the sum of the contributions to be paid for the entire term of the contract and
b)
In the case of a capital life insurance contract, the agreed benefit upon occurrence of the insured risk does not exceed the coverage capital or the current value of the insurance no later than five years after the conclusion of the contract by at least 10 percent of the coverage capital, the current value or the sum of the contributions paid. 2This percentage may decrease to zero in equal annual steps until the end of the contract period.
7If the taxpayer has acquired claims from a contract concluded by another person, the income from capital assets also includes the difference between the insurance benefit in the event of an insured risk and the expenses for acquiring and maintaining the insurance claim; sentence 2 does not apply in this respect. 8Clause 7 does not apply if the insured person acquires the insurance claim from a third party or compensation and compensation claims arising from other legal relationships under labor law, inheritance law or family law are met by transferring claims from insurance contracts. 9In the case of unit-linked life insurance, 15 percent of the difference is tax-free or may not be deducted when determining the income, provided the difference comes from investment income;
7.
Income from other capital claims of any kind if the repayment of the capital assets or a payment for the transfer of the capital assets for use has been promised or paid, even if the amount of the repayment or the payment depends on an uncertain event. 2This applies regardless of the designation and the civil law structure of the capital investment. 3Refund interest within the meaning of § 233a of the tax code is income within the meaning of sentence 1;
8.
Discount amounts of bills of exchange and instructions including treasury bills;
9.
Income from services by a corporation, association of persons or assets within the meaning of Section 1 Paragraph 1 Numbers 3 to 5 of the Corporate Income Tax Act, which are economically comparable to distributions of profits within the meaning of number 1, unless they already match the income within the meaning of number 1 belong; Number 1 sentence 2, 3 and number 2 apply accordingly. 2Clause 1 shall apply accordingly to services provided by comparable corporations, associations of persons or estates that have neither their registered office nor management in Germany;
10.
a)
Services of a business of a commercial nature not exempt from corporation tax within the meaning of Section 4 of the Corporate Income Tax Act with its own legal personality, which lead to income that is economically comparable with profit distributions within the meaning of number 1 sentence 1; Number 1 sentence 2, 3 and number 2 apply accordingly;
b)
the profit not added to the reserves and hidden profit distributions of a business of a commercial nature not exempt from corporation tax within the meaning of § 4 of the corporation tax law without legal personality, which determines the profit by comparing business assets or sales including tax-free sales, with the exception of sales according to § 4 number 8 up to 10 of the sales tax law, of more than 350,000 euros in the calendar year or a profit of more than 30,000 euros in the financial year, as well as the profit within the meaning of § 22 paragraph 4 of the transformation tax law. 2The dissolution of the reserves for purposes outside the business of a commercial nature leads to a profit within the meaning of sentence 1; in cases of contribution after the sixth and the change of legal form according to the eighth part of the Transformation Tax Act, the reserves are considered dissolved. 3In the business of organizing advertising broadcasts by domestic public broadcasters, three quarters of the income within the meaning of Section 8 (1) sentence 3 of the Corporate Income Tax Act apply as profit within the meaning of sentence 1. 4Sentences 1 and 2 are to be applied accordingly to commercial businesses of corporations, associations of persons or estates that are exempt from corporation tax. 5Number 1 sentence 3 applies accordingly. 6Clause 1 in the version applicable on December 12, 2006 shall continue to apply to shares that are contributory within the meaning of Section 21 of the Transformation Tax Act in the version applicable on December 12, 2006;
11.
Option premiums received for granting options; If the writer concludes a close-out transaction, the income from the writer premiums is reduced by the premiums paid in the close-out transaction.
(2) 1Income from capital assets also includes
1.
the profit from the sale of shares in a corporation within the meaning of paragraph 1 number 1. 2Shares in a corporation are also participation rights within the meaning of paragraph 1 number 1, participations similar to shares within the meaning of paragraph 1 number 1 and entitlements to shares within the meaning of paragraph 1 number 1;
2.
the profit from the sale
a)
of dividend coupons and other claims by the holder of the basic right if the associated shares or other shares are not also sold. 2Insofar as taxation according to sentence 1 has taken place, this takes the place of taxation according to paragraph 1;
b)
of interest coupons and interest claims by the holder or former holder of the bond if the associated bonds are not also sold. 2The same applies to the redemption of interest coupons and interest claims by the former holder of the bond.
2Sentence 1 applies mutatis mutandis to the income from the assignment of dividend or interest claims or other claims within the meaning of sentence 1, if the associated share rights or bonds are not securitized in individual securities. 3Sentence 2 also applies to the assignment of interest claims from debt register claims that are entered in a public debt register;
3.
the profit
a)
in the case of forward transactions through which the taxpayer obtains a settlement of the difference or a monetary amount or advantage determined by the value of a variable reference value;
b)
from the sale of a financial instrument designed as a forward transaction;
4.
the profit from the sale of assets that generate income within the meaning of paragraph 1 number 4;
5.
the profit from the transfer of rights within the meaning of paragraph 1 number 5;
6.
the profit from the sale of claims to an insurance benefit within the meaning of paragraph 1 number 6. 2After becoming aware of a sale, the insurance company must immediately notify the tax office responsible for the taxpayer and, at the request of the taxpayer, issue a certificate of the amount of the contributions paid at the time of the sale;
7.
the profit from the sale of other capital claims of any kind within the meaning of paragraph 1 number 7;
8.
the profit from the transfer or abandonment of a legal position mediating the income within the meaning of paragraph 1 number 9.
2A sale within the meaning of sentence 1 also includes redemption, repayment, assignment or hidden contribution to a corporation; in the cases of sentence 1 number 4, the receipt of a dispute credit also counts as a sale. 3The acquisition or sale of a direct or indirect participation in a partnership is considered to be the acquisition or sale of the proportional assets. 4If an interest coupon or an interest claim is separated from the main right, this is considered to be the sale of the bond and the acquisition of the assets resulting from the separation. 5A separation is considered completed when the security identification numbers for the assets resulting from the separation are received by the holder of the bond.
(3) Income from capital assets also includes special remuneration or benefits that are granted in addition to or in lieu of the income referred to in paragraphs 1 and 2.
(3a) 1Corrections within the meaning of Section 43a Paragraph 3 Clause 7 are only to be taken into account at the point in time specified there. 2If the taxpayer proves by means of a certificate from the paying agency that it has not and will not make the correction, the taxpayer can assert the correction in accordance with Section 32d Paragraphs 4 and 6.
(4) 1Profit within the meaning of paragraph 2 is the difference between the income from the sale after deduction of the expenses that are directly related to the sale transaction and the acquisition costs; In the case of transactions not carried out in euros, the income at the time of sale and the acquisition costs at the time of acquisition are to be converted into euros. 2In the case of hidden deposits, the income from the sale of the assets is replaced by their common value; the profit is to be set for the calendar year of the hidden deposit. 3If an economic asset within the meaning of Paragraph 2 has been transferred to private property through withdrawal or discontinuation of operations, the acquisition costs are replaced by the value stated in Section 6 Paragraph 1 Number 4 or Section 16 Paragraph 3. 4In the cases of paragraph 2 sentence 1 number 6, the contributions paid within the meaning of paragraph 1 number 6 sentence 1 apply as acquisition costs; if this has been preceded by a paid acquisition, the contributions paid after the acquisition are also considered to be acquisition costs. 5Profit in a futures transaction is the difference compensation or the monetary amount or benefit determined by the value of a variable reference value minus the expenses that are directly related to the futures transaction. 6In the case of free acquisition, the sole legal successor for the purposes of this provision is to be assigned the acquisition, the transfer of the asset into private assets, the acquisition of a right from forward transactions or the contributions within the meaning of paragraph 1 number 6 sentence 1 by the legal predecessor. 7In the case of justifiable securities which are given to a custodian for collective custody within the meaning of Section 5 of the Depot Act in the version of the announcement of 11 January 1995 (Federal Law Gazette I p. 34), which was last amended by Article 4 of the Law of 5 April 2004 (Federal Law Gazette I p. 502) has been changed, have been entrusted in the currently valid version, it must be assumed that the securities acquired first were sold first. 8If an interest coupon or an interest claim has been separated from the basic right, the proceeds from the sale of the bond are deemed to be their fair value at the time of separation. 9To determine the acquisition costs, the value according to sentence 8 is to be divided according to the common value of the new assets.
(4a) 1If shares in a corporation, asset or association are exchanged for shares in another corporation, asset or association and if the exchange is carried out on the basis of corporate law measures initiated by the companies involved, in deviation from Paragraph 2 Clause 1 and §§ 13 and 21 of the Conversion Tax Act, the acquired units in place of the previous units for tax purposes if the law of the Federal Republic of Germany with regard to the taxation of the profit from the sale of the units received is not excluded or limited or the Member States of the European Union in the event of a merger, Article 8 of Directive 2009 / 133 / EC of the Council of October 19, 2009 on the common tax system for mergers, divisions, spin-offs, the transfer of company parts and the exchange of shares affecting companies in different member states, as well as for the transfer of the Headquarters of a European company or a European cooperative society from one Member State to another Member State (OJ. L 310 of November 25, 2009, p. 34) in the currently applicable version; in this case, the profit from a later sale of the acquired shares is to be taxed in the same way as the sale of the shares in the transferring corporation would be taxed regardless of the provisions of an agreement to avoid double taxation, and Section 15 (1a) sentence 2 apply accordingly. 2If, in the cases of sentence 1, the taxpayer receives a consideration in addition to the shares, this is deemed to be income within the meaning of paragraph 1 number 1. 3In the case of other capital claims within the meaning of paragraph 1 number 7, the holder has the right to demand delivery of securities within the meaning of paragraph 1 number 1 from the issuer when due instead of paying a sum of money, or does the issuer have the right to replace the holder when due the payment of a sum of money to offer such securities and if the holder of the claim or the issuer makes use of this right, in deviation from paragraph 4 sentence 1, the payment for the acquisition of the claim is to be recognized as the selling price of the claim and as the acquisition cost of the securities received; Sentence 2 applies accordingly. 4If subscription rights are sold or exercised which, in accordance with Section 186 of the Stock Corporation Act, Section 55 of the Law on Limited Liability Companies or a comparable foreign law, give rise to a right to the conclusion of a subscription agreement, the part of the acquisition cost of the old shares that is attributable to the subscription right will be when determining the profit in accordance with paragraph 4 sentence 1, set at 0 euros. 5If a taxpayer is allocated shares by a corporation, association of persons or assets that have neither management nor domicile in Germany, without the taxpayer having to provide anything in return, both the income and the acquisition costs of the shares received are to be set at EUR 0 if the requirements of sentences 3, 4 and 7 are not met; the acquisition costs of the shares giving rise to the allocation remain unchanged. 6Insofar as the tax effectiveness of a corporate action within the meaning of the preceding sentences 1 to 5 is important, the point in time at which it is posted to the taxpayer's custody account is to be taken into account. 7If the assets of a corporation are spun off to other corporations, in derogation from Clause 5 and Section 15 of the Transformation Tax Act, Clauses 1 and 2 apply accordingly.
(5) 1Income from capital assets within the meaning of Paragraph 1 Nos. 1 and 2 is generated by the shareholder. 2The shareholder is the person to whom, according to Section 39 of the Tax Code, the shares in the capital assets within the meaning of Paragraph 1 No. 1 are to be allocated at the time of the profit distribution resolution. 3If the income within the meaning of paragraph 1 number 1 or 2 is attributable to a usufructuary or pledgee, he is deemed to be a shareholder.
(6) 1Losses from capital assets may not be offset against income from other types of income; they may not be deducted according to § 10d either. 2However, the losses reduce the income that the taxpayer earns from capital assets in the following assessment periods. 3§ 10d paragraph 4 is to be applied accordingly. 4Losses from capital assets within the meaning of paragraph 2 sentence 1 number 1 sentence 1 that arise from the sale of shares may only be offset against profits from capital assets within the meaning of paragraph 2 sentence 1 number 1 sentence 1 that arise from the sale of shares become; sentences 2 and 3 apply accordingly. 5Losses from capital assets within the meaning of paragraph 2 sentence 1 number 3 may only be offset in the amount of 20,000 euros with profits within the meaning of paragraph 2 sentence 1 number 3 and with income within the meaning of section 20 paragraph 1 number 11; Sentences 2 and 3 apply mutatis mutandis, with the proviso that losses not offset each subsequent year are offset against profits within the meaning of paragraph 2 sentence 1 number 3 and with income within the meaning of Section 20 paragraph 1 number 11 allowed to. 6Losses from capital assets from the total or partial irrecoverability of a capital claim, from the derecognition of worthless assets within the meaning of paragraph 1, from the transfer of worthless assets within the meaning of paragraph 1 to a third party or from any other failure of assets within the meaning of paragraph 1 may only in the amount of 20,000 euros are offset with income from capital assets; Sentences 2 and 3 apply mutatis mutandis, with the proviso that losses that have not been offset may only be offset against income from capital assets up to an amount of EUR 20,000 per year. 7Losses from capital assets that are subject to capital gains tax may only be offset or reduce the income that the taxpayer generates from capital assets in the following assessment periods if a certificate within the meaning of Section 43a Paragraph 3 Clause 4 is available.
(7) 1Section 15b is to be applied accordingly. 2A ready-made concept within the meaning of Section 15b (2) sentence 2 also exists if the positive income is not subject to collectively agreed income tax.
(8) 1To the extent that income of the type referred to in paragraphs 1, 2 and 3 is included in income from agriculture and forestry, from commercial operations, from self-employed work or from renting and leasing, it is to be added to this income. 2Paragraph 4a does not apply in this respect.
(9) 1When determining the income from capital assets, an amount of 801 euros must be deducted as income-related expenses (saver lump sum); the deduction of the actual advertising expenses is excluded. 2Spouses who are assessed together are granted a joint saver lump sum of EUR 1,602. 3Half of the common saver lump sum is to be deducted from each spouse when determining income; If the investment income of one spouse is lower than 801 euros, the pro rata saver lump sum is to be deducted from the other spouse to the extent that it exceeds the investment income of this spouse. 4The saver lump sum and the common saver lump sum may not be higher than the investment income offset in accordance with paragraph 6.

footnote

(+++ § 20: For the application see. §§ 22, 52 and 92a +++)
(+++ Section 20 Paragraph 1: For application see Section 19 Paragraph 2 InvStG +++)
(+++ Section 20 Paragraph 4: For application see Section 19 Paragraph 2 InvStG, Section 19 Paragraph 1 and Section 49 Paragraph 3 InvStG 2018 +++)
(+++ Section 20 Paragraph 4a: For application see Section 38 Paragraph 7 InvStG 2018 +++)
(+++ Section 20 Paragraphs 6 and 9: For application see Section 34 Paragraph 2 InvStG 2018 +++)