The German Ministry of Finance has issued guidance on the Principles for the application of the Tax Haven Defense Act. The Act to Prevent Tax Avoidance and Unfair Tax Competition (the Tax Haven Defense Act) introduced defensive measures designed to restrict individuals and companies from continuing or starting new business relationships with non-cooperative jurisdictions (tax havens). As previously reported, the defensive measures include: Payments to a tax haven for business transactions are not allowed as a deductible expense, unless the income corresponding to the expense is subject to unlimited or limited tax liability in Germany; Tighter CFC rules apply for...