This seems to be in line with the interpretation by the CJEU of the principles of fiscal neutrality, proportionality and the protection of legitimate expectations (among others see cases C-642/11, C-285/11, C-342/11, C-142/11). CJEU caselaw has held that the refusal of the right of VAT deduction in a situation where a taxable person who did not know, and could not have known, that the relevant transaction was connected with fraud committed by the supplier, is incompatible with the Principle VAT Directive.
Source: DLAPIPER
