Costs of the insolvency administrator not an extraordinary burden

The remuneration of the insolvency administrator in the context of a private insolvency is not tax-deductible as an extraordinary expense.

For the individual, insolvency proceedings may be an extraordinary event, but for the Federal Fiscal Court, the over-indebtedness of private individuals is not a marginal social phenomenon. It has therefore ruled that the remuneration for activities determined in favor of the insolvency administrator is not to be taken into account as an extraordinary burden for the insolvency debtor.