Real estate transfer tax on share deals – simplification of the notification requirement

The new rules in summary

The legislature has now modified two main points of the notification requirement:

• Now only one notification:
  In future, a single RETT notification will suffice, to be submitted on signing. The additional notification on closing that was required until now has been discontinued.
• Extended notification deadline:
  The deadline to submit the notification has been extended from two weeks to four weeks.

Notary’s liability and consequences of failure to notify

Although notaries are also subject to RETT notification requirements, under Federal Fiscal Court case law the notary is not usually liable for the tax consequences of failing to notify (judgement of 08/10/2025, II R 22/23). The responsibility thereby primarily lies with the taxpayer or its advisers. Missed or delayed notification can lead to risks in procedural law and criminal proceedings.

Requirement to act on your deal

From asset deals all the way to complex share deals, we’ll assist with all the tax aspects of deals involving German real estate, from advisory on structure to preparation and submitting the RETT notification on time, all the way to on-going communication with the tax authorities.

If you are planning a deal involving German real estate, we’ll be glad to talk to you from the very start.

_{This article was written in collaboration with Nikolas Koch.}