Thiele's heirs pay a record inheritance tax of 4 billion euros

Thiele's heirs pay a record inheritance tax of 4 billion euros

A total of four billion euros flowed to the tax office from the descendants of the late industrialist Heinz Hermann Thiele. In doing so, they paid the highest inheritance tax in the history of Germany. Thiele, an industry giant, left behind a fortune estimated at around 15 billion euros. His heirs, including son Hendrik and daughter Julia, transferred the amounts in April 2023 via the recently recognized Heinz Hermann Thiele Family Foundation. This payment is not only a financial hammer, but also causes excitement in the political sphere.

Thiele was not only the majority shareholder of Knorr-Bremse, but also active in other large companies such as Vossloh and Lufthansa. The entrepreneur, who died in February 2021, had always tried to settle his inheritance in a family foundation, which was only finally achieved in 2023. However, this led to a bitter dispute between his widow Nadia and the children over the distribution of assets and the administration of the foundation South German newspaper reported.

An inheritance dispute with far-reaching consequences

The failure to immediately recognize the family foundation led to a bitter dispute within the family. While Nadia Thiele demanded a stronger say in the foundation's statutes, the executor Robin Brühmüller accused her of not adhering to the agreements. She had a great interest in being seen as more than just a pre-heir.

In the meantime, son Hendrik, who broke off his relationship with his father in 2015, fought for his claim. He originally waived his compulsory share and later accepted a settlement of 25 million euros, which he wanted to challenge legally after his father's death. Daughter Julia Thiele-Schürhoff took on important roles on the Knorr-Bremse supervisory board and in the family foundation, while the estate administrator came up with a potential fee in the three-digit million range.

Policy responses and future investments

In the midst of these family disputes, politicians are also having their say. Claudia Köhler from the Greens demands that the significant income from inheritance tax be used for important investments in local communities. She highlights that communities need support in closing swimming pools, reducing bus services and renovating school toilets. Köhler is pushing for the funds to be used quickly instead of reserving them for election gifts.

This debate about the use of funds comes against the backdrop of a trend in Germany: in 2022, total inheritance tax revenue was almost ten billion euros, although there is the possibility that charitable foundations will be exempt from this tax if they meet certain criteria. This could become a consideration when it comes to freedom of travel for families wanting to take advantage of inheritance tax benefits, such as this German Foundation Center explained.

How the situation will develop further and what decisions will be made by the Thiele heirs and politicians remains to be seen. One thing is certain: the repayments have already been made and now it is important to use the inheritance to create something useful for society.