entanglement
Entanglement in jurisprudence is the permanent connection of a legal object by means of a special legal act , which can only be resolved again by means of a legal act of the same type ( unrestricted ).
Tax law and commercial law
Entanglement is the implementation of the idea of beneficial ownership without actually changing ownership by assigning a legal object of the same right holder to a certain area of assets - usually business assets . The assets associated with the business assets are used exclusively for business purposes and not for other purposes; they are therefore effectively separated for the application of certain laws, even if they are not otherwise separated and form a special fund, for example.
If the owner takes such an object from this property - which he can at any time - he dissolves the established assignment (unraveling) and the existing applicability of these laws.
- example
A self-employed taxi driver buys a car with private funds and uses it exclusively in his taxi business. In doing so, he reduces his private assets by the funds withdrawn and increases his business assets by the acquisition value , while his total assets remain constant. Years later, he only uses the car for private purposes. Legal consequences can be a contribution in kind to the business assets at the beginning and then a withdrawal (= unrestricted). If the current value of the car when it is withdrawn is higher than the book value , there is a withdrawal profit.
Entstrangung also describes the case that an asset is excluded from domestic taxation, so that later increases in value can no longer be subject to German tax.
Unrestricted circumstances include Section 4 (1) Sentence 2 of the Income Tax Act (EStG), Section 12 of the Corporation Tax Act and Section 6 of the Foreign Tax Act . Another elimination situation can be found in Section 21, Paragraph 2, No. 2 of the Conversion Tax Act : If business assets are brought into a corporation at book value against company rights, these company shares remain entangled with taxation. If these company shares are sold, the capital gain is subject to taxation in accordance with Section 16 of the Income Tax Act - the taxation of the company shares is eliminated. In this case, however, the entanglement can also be targeted - e.g. B. on request - be brought about.
Foreclosure law
Entanglement is the seizure of a thing , a claim or another property right by sovereign act in the context of a seizure by the bailiff , enforcement officer or the enforcement court . In the interest of satisfying the obligee, it withdraws the debtor 's power of disposal over the thing. This goes over to the state. There is an official prohibition of sale within the meaning of § 136 BGB . The debtor must the seized item no longer sell, give away or get rid of ( Inhibitorium ). Under criminal law, the entanglement is protected by Section 136 of the Criminal Code ( breach of entanglement ) - which, however, only affects things - and punishable by punishment .
At the same time as the entanglement, at least in the case of a lawful seizure, a lien on the seized item arises , on the basis of which the obligee has the right to obtain satisfaction from the seized item in accordance with the provisions of enforcement law. The entanglement ends with the annulment of the seizure or with the realization of the seized item and delivery of the proceeds to the obligee.
