3 questions to smart minds

AIFM — status quo and options for action

For this 3 questions to C. Treasure

SJ Berwin
Photo: C. Schatz | SJ Berwin
10. July 2013

The Euro­pean AIFM Direc­tive regu­la­tes the mana­gers of alter­na­tive invest­ment funds (AIFMD; Alter­na­tive Invest­ment Fund Mana­gers Direc­tive). This affects all mana­gers of open-ended and closed-end funds, unless they are alre­ady regu­la­ted by the UCITS Direc­tive. The AIFM Tax Adjus­t­ment Act is inten­ded to adapt various tax regu­la­ti­ons in Germany to the German Invest­ment Code. In Germany, as part of the imple­men­ta­tion of the AIFM Direc­tive, the exis­ting Invest­ment Act is to be repea­led and the regu­la­ti­ons contai­ned ther­ein inte­gra­ted into a new Capi­tal Invest­ment Code (KAGB). — What is the status quo?

For this 3 ques­ti­ons to Part­ner at SJ Berwin in Munich

1. On July 22, 2013, the AIFM-UmsG enters into force. What does a private equity fund have to do now?

Each private equity fund should now review whether and how it will be regu­la­ted in the future. For exam­ple, as of July 22, 2013, fund raising may require a permit appli­ca­tion. Ther­e­fore, to avoid possi­ble time delays, you should start plan­ning for the future early. 

2. What happened to the AIFM Tax Adjus­t­ment Act?

The AIFM Tax Adjus­t­ment Act has failed for the time being, as the Bundes­rat did not approve it. As a result, the Invest­ment Tax Act will be depri­ved of its scope of appli­ca­tion on July 22, 2013, and it will no longer be appli­ca­ble as of July 22, 2013. In all likeli­hood, this gap will be closed in the fall.

3. Does this directly affect private equity funds?

Dome­stic private equity funds in the legal form of a KG are curr­ently not subject to the Invest­ment Tax Act, and foreign private equity funds are gene­rally not subject to this Act either, so that this gap in the scope of appli­ca­tion of the Invest­ment Tax Act should not have any effect.

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