On January 31^st, 2008, the Austrian branch of IFA organized a meeting in Vienna to discuss the international implications of the German Tax Reform 2008. Speakers were Prof. Dr. Wolfgang Kessler, University of Freiburg, and Dr. Helmut Loukota, Consultant at the Federal Ministry of Finance. The key topic was the German ceiling placed on inter-company interest deductions which was found to create economic international double taxation. The new restrictions constitute a potential violation of the Interest and Royalty Directive of the EU and must be seen as an infringement of the non-discrimination clauses under the Double Taxation Convention as well as under the freedom of establishment rule of Community Law. In the case of German domestic group taxation, the ceiling does not apply, whereas in the case of a cross-border group situation with an Austrian group leading company, the ceiling becomes applicable and causes discrimination.