The Tax Administration of the Canton of Basel-Landschaft has published its tax practice (BLStPra) September 2017 edition.
The tax administration of Basel-Land Canton is devoting the following decisions in the published BLStPra issue September 2017:
- Decision of the Tax Court of Basel-Land Canton of 7 April 2017: Tax exemption due to non-profit status; tax exemption due to non-profit status requires a sacrifice to the benefit of the general public. It is expected that the legal entity which is in principle liable to tax will make this sacrificial sacrifice in its own favour, i.e. tax-exempt. In the case of an association dedicated to the promotion of a particular sport and comprising an association of clubs, sports schools and private individuals, this act in the exclusive general interest is absent. Even the intended integration of people with disabilities cannot change this. Furthermore, such an actual activity, which would have to be proven, would have to be carried out not only within the affiliated clubs but also far outside, i.e. by a completely open circle of beneficiaries.
- Basel-Land Cantonal Court decision of 7 June 2017: business assets or private assets; even in the case of a very extensive property portfolio, private assets still exist if no commercial property trading is carried out with them, i.e. no properties are sold despite extensive and value-enhancing measures. The formation of a general partnership does not change this tax qualification, because the mere letting of own real estate can hardly ever constitute a business operation. This also applies if the company is able to earn a living and if a certain risk is taken when borrowing funds.
- Decision of the Tax Court of Basel-Land Canton of 19 May 2017: Travel costs to and from work; the travel costs required to get to and from work are deductible as professional expenses. The basic restriction to the costs of public transport has an intended steering effect. The criterion of a total time limit of 2.5 hours as defined in the ordinance applies to the pure travel time. Delays or waiting times before and after the journey as well as the time required for changing clothes before starting work are not taken into account.
The BLStPra issue September 2017 is available here.
