The exemption of post-importation intra-Community supply ICS (under customs procedure „42”) cannot be denied when the tax fraud occurs not at the stage of this ICS but only at a further stage of trading in the destination country…. This content is for Full Membership members only. Want to read background, core of the problem, conclusion...

In principle, exemption from VAT of imports under „procedure 42” should result in exemption from VAT of intra-Community supply following such importation. If the delivery of goods (under the ICS) has taken place, the taxpayer cannot be deprived of the VAT exemption unless it is shown that the taxpayer knew or should have known that…...

The exemption cannot be denied in case of importation only because the importer did not meet the formal condition of presenting the correct VAT number of the final actual purchaser of the goods in the import declaration. Such documents as e-AD, e-ROR, or CMR are not always conclusive, but they are very strong evidence that…...