A non-profit GmbH, gGmbH for short, is tax-privileged in many ways. However, the prerequisite is the pursuit of certain purposes. In addition, gGmbH is not allowed to carry out any economic activity in the proper sense, because insofar as it maintains an economic business operation, it loses its tax privileges. Incidentally, however, the charitable GmbH is also a “capital company like all others”.
1. What is a non-profit GmbH?
Contrary to what is often suspected, there is no legal form “gemeinnützige GmbH” in German company law. gGmbH is therefore a classic limited liability company and thus a limited liability company subject to the provisions of the GmbH Act (GmbHG). However, the special feature of the “regular” GmbH is the fulfilment of charitable purposes, which is a direct connection to §§ 52 to 54 AO.
The most important requirement is the fulfilment of charitable, charitable or ecclesiastical purposes. The statutes of the gemeinnützigen GmbH must explicitly provide for these and at the same time comply with the other requirements of the tax code. Non-profit purposes within the meaning of § 52 (2) AO are, for example:
This article does not replace tax or legal advice in an individual case. Facts, current law, jurisdiction, documentation and implementation remain decisive.