The right to deduct cannot be denied merely because the taxable person has not complied with obligations to identify suppliers under food law. This may be one of several grounds for concluding that the purchaser knew it was engaging in fraud. The right to deduct cannot be refused on the grounds that the purchaser did…...

Where fraud is suspected, the tax authorities must demonstrate a tax advantage for the taxpayer or other persons involved in the scheme in order to challenge the right to deduct input tax…. This content is for Full Membership members only. Want to read background, core of the problem, conclusion and more? Sign up for free!Already...

The University incurs the cost of maintaining its fund fed with donations and grants. It is not entitled to deduct VAT on such costs…. This content is for Full Membership members only. Want to read background, core of the problem, conclusion and more? Sign up for free!Already a member? Log in here...

Entities in a given capital group made 'circuitous’ and 'sham’ sales of electricity. There is no loss of tax revenue for the State in such a case. In such a situation, the right of deduction does not arise from such ’empty’ invoices, but the taxable person should, in principle, be able to recover the tax…...

A taxable person may not deduct 100% of the input tax on purchases of goods and services relating to both business and non-business activities – even where Member State legislation contains no rules governing the amount of the partial deduction…. This content is for Full Membership members only. Want to read background, core of the...

If, on the date of Poland’s accession to the EU, it was possible to deduct input tax on accommodation and catering services where a taxable person supplied tourism services, such deduction should continue to be allowed, even if national rules exclude such deduction. A prohibition of deduction would be incompatible with the standstill principle. In…...

The tax shown on an invoice documenting a transaction which should be subject to a reverse charge is not deductible. However, the tax authorities should refund such VAT paid if recovery of the VAT from the supplier would be impossible or excessively difficult…. This content is for Full Membership members only. Want to read background,...

A „sale and lease back” transaction is – in principle – a financial service provided by a financing institution and not two separate transactions for VAT purposes…. This content is for Full Membership members only. Want to read background, core of the problem, conclusion and more? Sign up for free!Already a member? Log in here...

A Member State could not have introduced a reverse charge mechanism before notification of the Council implementing decision. A reverse charge can only be applied by a Member State after notification of the Council implementing decision, not before that notification…. This content is for Full Membership members only. Want to read background, core of the...

A company has a headquarters in one Member State and a branch in another. In such a situation, the branch’s input tax should be deducted using the proportion of sales applicable to the head office (when it comes to purchases related to the activities of the head office) and the proportion applicable to the entire…...