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INTRODUCTION

Germany is a country located in the center of Western Europe. It is bordered by Denmark, Poland, Czech Republic, Austria, Switzerland, France, Luxembourg, Belgium, Netherlands, the North Sea, and the Baltic Sea.

Germany has a mixed economic system in which the economy includes a variety of private freedom, combined with centralized economic planning and government regulation. The main sector of the economy is the services sector, including commerce, banking, insurance, engineering and others. Manufacturing also plays a major role, including automotive, electronics and chemical.

Germany is open to foreign investment, but investment is generally not incentivized tax-wise.

Currency is Euro (EUR)

Abbreviations:

APA Advance Pricing Agreement
CFC Controlled Foreign Company
CUP Comparable Uncontrolled Price
DTA Double Tax Agreement
EEA European Economic Area
EU European Union
EUR Euro
MOSS Mini One Stop Shop
OECD Organization for Economic Cooperation and Development
PE Permanent Establishment
R&D Research and Development
TP Transfer Pricing
VAT Value Added Tax
WHT Withholding Tax